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TMI Blog1993 (3) TMI 67X X X X Extracts X X X X X X X X Extracts X X X X ..... ng the contention of the accountable person that as the property in question was on August 8, 1968, owned by as many as five co-owners the market value should be fixed at a reduced margin of 22 to 25 per cent. of the actual market value ? (3) Whether the Tribunal was right in law in fixing the value of the land in question at Rs. 1.50 per sq. yard on the basis of the highest value Of four lands situate right on Ashram Road, in spite of its finding that the land in dispute was not right at Ashram Road but somewhat removed from that road ? (4) Whether the Tribunal was right in law in holding that the fact of litigation by the occupants lost importance in respect of the question of valuation as the occupants were in possession of some port ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submitted by the Department's Valuation Officer disclosed the real value of the said bungalow at Rs. 17,47,900 which was arrived at the rate of Rs. 2.15 per sq. yard. The Assistant Controller computed the principal value of the estate of the deceased accordingly. As the accountable persons were not satisfied with the order passed by the Assistant Controller, they preferred an appeal to the Appellate Controller of Estate Duty. The order was also challenged on some other grounds with which we are not concerned in this reference. The Appellate Controller found that the view taken by the Assistant Controller was quite proper and, therefore, he dismissed the appeal. The accountable persons then approached the Tribunal by way of a second appeal w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not fetch the same price as are fetched by small plots and, therefore, some deduction on that count ought to have been made by the Tribunal while fixing valuation of the lands in question. The fact that Survey Nos. 72, 74, 75, 76 and 77 formed a compact block is not in dispute and is amply borne out by the material on record. Compared to the area of 1,000 sq. yards of Survey No. 50 which was sold on October 14, 1968, at Rs. 1.50 per sq. yard, the area of lands in question is about 50 times more. Obviously, such a big plot of land could not have fetched the same price as was fetched by Survey No. 50. The Tribunal having found that that was the only comparable instance of sale ought to have, therefore, made appropriate deduction from the sale ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of those four sites was sold. Learned counsel for the accountable persons was justified in criticising this approach of the Tribunal. What was required to be considered was whether the land in question was superior or inferior to the lands which were the subject-matter of other instances of sale and not whether "lands covered by those comparative sales were in any way inferior to the property in question". Moreover, the Tribunal has not indicated why the highest price at which one of those lands was sold should be regarded as the proper value of the land in question. We may, at the same time, state that learned counsel for the Revenue was right in pointing out that the Tribunal was wrong in stating that "the property in question was admitt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t of it. These were all relevant factors and they would have certainly entered into consideration of the intending purchaser while quoting the purchase price. The Tribunal was, therefore, wrong in disregarding these relevant factors. The property known as Jamsie Villa had frontage of only 150 feet on the Ashram Road. From the order passed by the Tribunal, it appears that the land over which IA Chambers stands was sold at the rate of Rs. 1.30 per sq. yard in February, 1968. The land occupied by Bhavani Chambers was sold at the rate of Rs. 1.51 per sq. yard in February, 1969, and the land occupied by National Chambers was sold at Rs. 1.50 per sq. yard in July, 1971. It further appears from the record that the land occupied by IA Chambers buil ..... X X X X Extracts X X X X X X X X Extracts X X X X
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