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TMI Blog2021 (3) TMI 879X X X X Extracts X X X X X X X X Extracts X X X X ..... er sq. mt. vide office order dated 09/02/2011 and since admittedly, the agreement to sell was entered into between the parties with regard to sale of the property on 15/11/2010 and the entire sale consideration was paid in two installments on 16/11/2010 and 08/12/2010, however, the registered sale deed could be got executed on 20/04/2011 at that time, revised rates had come into operation but because of our detailed reasoning above by applying proviso to Section 50C of the Act, the rates prevalent at the time of agreement i.e. 15/11/2010 could be applicable in the present case for the purpose of computing full value of consideration for such transfer. A.O. has also made disallowance of improvement cost and making investment of the entire consideration in the new residential house as a new residential house was purchased by the assessee in the name of his wife. In the present case, the assessee had purchased house in the name of his wife, therefore, the Coordinate Bench in SMT. SUNITA SHARMA [ 2013 (1) TMI 1011 - ITAT CHANDIGARH] held that the assessee is not disentitled for exemption U/s 54F of the Act and the said proposition has further been upheld by the coordinate bench ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(A) in confirming the addition of ₹ 16,89,423/-. After having gone through the facts of the present case, we found that the A.O. made additions by disallowing improvement cost and making investment by the assessee in the purchase of residential house in the name of his wife. As per facts of the present case, during the year under consideration, the assessee sold an industrial plot of 750 Sq.Mt. for ₹ 11,25,000/- and received the entire payment in two installments i.e. ₹ 4,50,000/- on 16/11/2010 and ₹ 6,75,000/- on 08/12/2010. Both these amounts were received through cheques. The assessee also filed his ITA declaring total income of ₹ 1,73,050/- on 14/06/2012. However, the case of the assessee was selected for scrutiny and after providing opportunity of hearing, the A.O. treated the DLV value on the date of registration as full value of consideration, therefore, by applying the provisions of Section 50C of the Act, the additions were made in the case of assessee. 6. The ld AR appearing on behalf of the assessee has reiterated the same arguments as were raised before the lower authorities and it was submitted by the ld AR that an agreement for sal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on as explained by the assessee has not been disputed by the ld DR. the only dispute which has accrued before us is with regard to applicability of the proviso to Section 50C of the Act. According to the ld DR, since the amendment introduced only with prospective effect from 01/04/2017, therefore, the assessee is not entitled to taken benefit of the said proviso. On the contrary, the Coordinate Bench of the Ahmadabad Tribunal in the case of Dharamshibhai Sonani Vs ACIT in ITA No. 1237/Ahd/2013 decision dated 30/09/2016 has categorically held that proviso to Section 50C of the Act being curative in nature and thus could have been retrospective applicability. The said decision has further been followed by another Coordinate Bench of ITAT Ahmedabad in the case of Smt. Kundanben Ambalal Shah Vs ITO in ITA No. 3354/Ahd/2014 decision dated 30/11/2017 wherein also it has categorically been held that where the date of the agreement fixing the amount of consideration and the date of registration for the transfer of the capital asset are not the same, then in that eventuality, the value adopted or assessed or assessable by the stamp valuation authority on the date of agreement may be taken ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d be applicable in the present case for the purpose of computing full value of consideration for such transfer. 10. The A.O. has also made disallowance of improvement cost and making investment of the entire consideration in the new residential house as a new residential house was purchased by the assessee in the name of his wife. In this respect, the ld AR has reiterated the same arguments as were raised before the ld. CIT(A) and has placed on record a copy of agreement of plot purchased in his wife s name which is placed at page No. 19 to 20, ITR computation and balance sheet which is placed at page No. 24 to 29 of the paper book, water and electricity of house, which is at page No. 31-33 of the paper book, engineer s valuation report for cost of construction, which is placed at page No. 67-74 of the paper book. After hearing the parties at length on the issue of both the disallowances, we found that in order to prove the improvement cost, the assessee has placed engineer s valuation report for cost of construction which has not been rebutted by the lower authorities and no fault has been found in the said report. Moreover, as per provisions of Section 54F of the Act, it has a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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