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TMI Blog2021 (6) TMI 1174X X X X Extracts X X X X X X X X Extracts X X X X ..... BAD. [ 2021 (1) TMI 1085 - ITAT AHMEDABAD] has directed the AO to adopt the rate for the sale of land at Rs. 200 per square meter. Admittedly, the decision rendered by the ITAT in the own case of the assessee as discussed above is binding on us. Therefore we have no other alternate except to follow the order as discussed aforesaid. - Decided against revenue. - SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND MS MADHUMITA ROY, JUDICIAL MEMBER For the Revenue : Shri L.P. Jain, Sr.D.R For the Assessee : Shri Tushar Hemani, Sr. Advocate with Shri P.B. Parmar, A.R ORDER PER WASEEM AHMED, ACCOUNTANT MEMBER: The captioned appeal has been filed at the instance of the Revenue against the order of the Learned Commissioner of Income Tax(Appeals)-3, Ahmedaba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e year under consideration has sold a property being land admeasuring 23270 square meter. As per the assessee the land was sold at ₹200 per square meter aggregating the sale consideration at Rs. 46,54,000.00 only. However, the AO found that the land in question was valued for the purpose of stamp duty at the rate of 1,670.00 per square meter aggregating to sale consideration of Rs. 3,88,60,900.00 under the provisions of section 50C of the Act. Accordingly, the AO has taken the sale consideration for the purpose of capital gain at Rs. 3,88,60,900.00 for working out the capital gain. 5. Aggrieved assessee preferred an appeal to the learned CIT (A) who was pleased to reduce the rate of the land to Rs. 618 per square meter against the rat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the copy of the ITAT order in ITA No. 427/AHD/2018 for our perusal. The learned AR vehemently supported the order of the learned CIT (A). 8. We heard the rival contentions of both the parties and perused the materials available on record. The issue before us revolves whether the rate of the land for working out the sale consideration for the purpose of capital gain should be taken at ₹ 618 as directed by the learned CIT (A) or Rs. 1,670.00 as adopted by the AO. The issue on hand does not require any further consideration for the simple reason that the ITAT in the own case of the assessee in the appeal preferred by the assessee in ITA No. 427/AHD/2018 vide separate order dated 29th of January 2021 has directed the AO to adopt the rate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... her words, on the date when sale deed was presented for registration i.e. 24.5.2011, jantri rate for the purpose of payment of stamp duty was Rs. 618/- per sq.meter. 7. The dispute between the assessee and the Revenue is, for the purpose of section 50C, which rate is to be deemed as full consideration for the sale of this property for purpose of section 48 of the Act ? According to the assessee, the rate should be adopted at Rs. 200/- per sq.meter, which was settled between him and the vendee on the date of agreement i.e. 30.12.2010. On this day, even the stamp duty valuation authority has also fixed rate of Rs. 140/-. Had the sale deed been executed on this date for the purpose of section 50C no other consideration could be deemed because ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the property and considering this aspect, one has to adopt the rate for the purpose of section 50C on the date on which agreement was executed. In the present case, the payments have been made through account payee cheque, and time gap between the presentation of the sale deed for registration vis-a-vis revision of rates for the purpose of charging higher stamp duty is not substantive and considerable. The sale deed was presented on 24.5.2011 whereas the rates were revised on 18.4.2011. The time gap between the agreement vis-a-vis sale deed is also not substantive. Agreement is dated 31.12.2010 and sale deed was presented for registration on 24.5.2011. Considering this hardship for the vendors, section 50C was amended and second proviso has ..... X X X X Extracts X X X X X X X X Extracts X X X X
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