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TMI Blog1983 (7) TMI 20X X X X Extracts X X X X X X X X Extracts X X X X ..... ereinafter referred to as " the Act ") for acquisition, initiated these proceedings. The requisite notice was published in the Govt. of India Gazette, and copies of the same were served on the transferor and the transferees aforesaid. The question of valuation of the properties aforesaid was referred by the IAC to the valuation officer, who, adopting the land and building method and submitted a report that the fair market value of the house aforesaid was Rs. 71,600. The vendees aforesaid filed their reply contesting the fair market value determined by the valuation officer and also produced a report in regard to the fair market value of the said house of an approved valuer indicating that the fair market value of the house was Rs. 57,358. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an order tinder s. 269F(6) of the Act directing the acquisition of the house aforesaid with the prior approval of the Commissioner. Aggrieved by the aforesaid order of the IAC, the vendees preferred two appeals being Appeals Nos. 34 and 35 of 1975-76 before the Income-tax Appellate Tribunal, Allahabad, under s. 269G(1) of the Act. Even though the Tribunal came to the conclusion that the fair market value of the house on the date of sale was Rs. 68,090 and not Rs. 71,600 as held by the IAC, it agreed with the IAC that a sum of Rs. 8,000 only had been proved to have been spent by the vendees towards the renovation of the house after its purchase. Deducting the sum of Rs. 8,000 from 68,090, the Tribunal held that the fair market value of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e between Rs. 60,090, the fair market value as determined by the Tribunal, and Rs. 49,500, the apparent consideration of the house in question, came to Rs. 10,590 only and not Rs. 14,190 as stated by the Tribunal. According to counsel for the appellant, the correct amount, of difference being Rs. 10,590 only and not Rs. 14,190 and it was also less than 25 per cent., the Tribunal acted illegally in taking the view that the difference being 25 per cent., it was conclusive proof under s. 269C(2)(a) of the Act, and that the consideration for such transfer had not been truly stated in the instrument of transfer with the object stated therein. According to him it was not cl. (a) but cl. (b) of s. 269C(2) of the Act which was applicable to the fac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unless the contrary is proved ". As regards the finding about the fair market value of the IAC including the finding about the amount proved to have been spent towards its renovation, suffice it to say, that the same is a finding of fact and does not call for interference in the present S.A.F.O. Counsel for the appellant then urged that the apparent consideration of the sale of the house in question was not Rs. 49,500 only but was more. According to him since it was apparent from the sale deed itself that the vendees had undertaken " to meet all expenses and labour relating to the execution of the document of sale deed ", the amount spent towards purchasing stamps and meeting the registration charges had to be added to the sum of Rs. 49 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... undertaken " to meet all expenses and labour relating to the execution of the document of sale deed " at best only raised a presumption that the vendees may have done so, but this presumption was rebuttable. Had this plea been raised at the appropriate stage, evidence could have been led by the I.T. Department that notwithstanding the said recital the expenses were borne by the vendor himself and the recital aforesaid was not true and had been made with some ulterior motive. Due to the conduct of the vendee in not raising this plea at the appropriate stage, the I.T. Dept. is likely to be prejudiced if this plea is permitted now to be raised in arguments and is accepted. Secondly, even on merits, we do not find any force in this submissio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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