9911796707
TMI Blog2022 (12) TMI 428X X X X Extracts X X X X X X X X Extracts X X X X ..... han the entire sale consideration amounting to Rs.74,55,088/- (supra). CIT(A) s jurisdiction in arriving at the correct computation of an assessee s taxable income - Bifurcation of long term capital gains computation to business income to the extent of business profits - We find no merit in the Revenue s instant arguments in light of CIT vs. Shapoorji Pallonji Mistry [ 1962 (2) TMI 12 - SUPREME COURT] , CIT vs. Union Tyers [ 1999 (9) TMI 81 - DELHI HIGH COURT] and CIT vs. M/s. Sardari Lal Company [ 2001 (9) TMI 1130 - DELHI HIGH COURT] that the CIT(A) s jurisdiction does not extend to introducing an altogether new source of income as it has been done in the facts of the instant case. Faced with this situation, we accept the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bearing Nos. 76 to 83, 84 to 93, 94 to 98, 158 to 164, 175, 177 to 182 184 admeasuring 4580.77 sq. mtr./ 49,288 sq. ft. at Survey No. 186 in question have been sold for a consideration of Rs.74,42,563/- on 15.04.2011. However the stamp duty valuation of the same was taken at Rs.12,60,000/- by the State Government Authorities. The same will represent the fair market value of the land as on 15.04.2011. Applying the cost inflation index of 785 in 2011-12 and 551 in 2007-08, the fair market value of the land admeasuring 4580.77 sq. mtr. is worked out at Rs.8,84,407/-. In the absence of bills/vouchers for the improvement expenses/development expenses, such expenses cannot be allowed to the appellant. The business profits are accordingly worked ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he impugned capital gains ought not to have been assessed in the year when the assessee had converted his capital asset(s) to stock-in-trade. This assessee s argument also fails to inspire any acceptance as section 45(2) is a specific provision wherein capital gains arising from such a conversion are assessed in the year of actual transfer of the stock-intrade. We thus uphold the learned lower authorities action; more, particularly the CIT(A) s action assessing the impugned long term capital gains in assessee s hand to the tune of Rs.8,64,068/- than the entire sale consideration amounting to Rs.74,55,088/- (supra). 5. Next comes equally important legal question that the CIT(A) has bifurcated the Assessing Officer s long term capital gai ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
