9911796707
TMI Blog2002 (1) TMI 57X X X X Extracts X X X X X X X X Extracts X X X X ..... of Rs.33,50,000 (rupees thirty three lakhs fifty thousand only) on the terms and conditions mentioned in the agreement and accepted earnest money of Rs.50,000 (rupees fifty thousand only) from the vendees. (c) The vendors and the vendees jointly furnished statements in Form No. 37-I to the appropriate authority under section 269UC of the Income-tax Act, 1961. (d) On March 9, 1995, the appropriate authority issued a show-cause notice to the writ petitioners asking them to show cause as to why the subject property should not be purchased by the Central Government under the pre-emptive right under section 269UD(1) of the said Act at an effective apparent consideration of Rs.31,06,000 (rupees thirty one lakhs six thousand only). The writ petitioners and the purchaser submitted their replies to the show-cause notices. (e) However, the appropriate authority passed an order under section 269UD(1). It was ordered that "the said property described in the schedule appearing below is hereby purchased by the Central Government at an amount of Rs.31,06,000 (rupees thirty one lakhs six thousand only) being an amount equal to the amount of effective apparent consideration. The transferor wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng aggrieved the present appeal has been filed by the respondents in the writ petition. It is submitted that as in spite of demand possession was not delivered by the owners, the amount was not tendered to the owners, but was deposited with the, appropriate authority within time and as such the learned judge ought not to have held that such deposit of amount with the appropriate authority was invalid and, therefore, the subject property stood revested in the original owners. The relevant provisions of the Income-tax Act, 1961, are as under: "269UG. (1) The amount of consideration payable in accordance with the provisions of section 269UF shall be tendered to the person or persons entitled thereto, within a period of one month from the end of the month in which the immovable property concerned becomes vested in the Central Government under sub-section (1), or, as the case may be, sub-section (6) of section 269UE: Provided that if any liability for any tax or any other sum remaining payable under this Act, the Wealth-tax Act, 1957 (27 of 1957), the Gift-tax Act, 1958 (18 of 1958), the Estate Duty Act, 1953 (34 of 1953), or the Companies (Profits) Surtax Act, 1964 (7 of 1964), ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... herein in respect of any immovable property which has vested in the Central Government under sub-section (1) or, as the case may be, sub-section (6) of section 269UE, the order to purchase the immovable property by the Central Government made under sub-section (1) of section 269UD shall stand abrogated and the immovable property shall stand revested in the transferor after the expiry of the aforesaid period: Provided that where any dispute referred to in sub-section (2) or sub-section (3) of section 269UG is pending in any court for decision, the time taken by the court to pass a final order under the said sub-sections shall be excluded in computing the said period. (2) Where an order made under sub-section (1) of section 269UD is abrogated and the immovable property revested in the transferor under sub section (1), the appropriate authority shall make, as soon as may be, a declaration in writing to this effect and shall-- (a) deliver a copy of the declaration to the persons mentioned in sub-section (2) of section 269UD; and (b) deliver or cause to be delivered possession of the immovable property back to the transferor or, as the case may be, to such other person as was i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ] 222 ITR 168 held that in the case of pre-emptive purchase of immovable property section 269UF of the Income-tax Act, 1961, laid down that the Central Government should pay, by way of consideration for such purchase, an amount equal to the amount of apparent consideration. Under section 269UG, the amount of consideration so payable was to be tendered to the person entitled thereto within a period of one month from the end of the month in which the immovable property concerned became vested in the Central Government. However, if the person entitled to the amount of consideration did not consent to receive it, or if there was any dispute as to the title to receive the amount of consideration, the Central Government should deposit with the appropriate authority the amount of consideration required to be tendered under the provisions of section 269UG of the Act. A challenge to the order of pre-emption would not be a ground not to comply with the provisions of sub-section (1) of section 269UG and to resort to sub-section (3) of section 269UG of the said Act. In our view, by virtue of the provisions of section 269UE(1) of the said Act the vesting of the property in the Central Govern ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
