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TMI Blog2025 (4) TMI 265X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(A), NFAC has erred in confirming the action of assessing officer in making addition of Rs. 93,46,548/- u/s 56(2)(x) of the I.T. Act, 1961 as income from other sources on account of alleged difference between value as per stamp duty rate and consideration paid by assessee as per registered purchase deed. ii. It is therefore prayed that above addition made by assessing officer and confirmed by Commissioner of Income-tax (Appeals) may please be deleted." 2. Fact in brief is the return of income declaring total income of Rs. 83,05,810/- was filed on 19.10.2018. The case was subject to scrutiny assessment. During the course of assessment, the assessing officer noticed that assessee has purchased a property situated at Flat No. 204, B-W ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... allotment letter dated 26.04.2016 issued by the builder stating that because of modification of plan due to change in Development Regulation the earlier allotment was replaced by the new flat no. 204 on 2nd floor as discussed. However, the AO has not agreed with the submission of the assessee and he has taken stamp value assessed of Rs. 2,73,41,000/- on 11.09.2017 as value of property and added the difference amount of Rs. 93,46,548/- to the total income of the assessee u/s 56(2)(x). 3. The assessee filed appeal before the ld. CIT(A). The ld. CIT(A) has dismissed the appeal of the assessee. 4. During the course of appellate proceedings before us, the ld. Counsel submitted that due to change in Development Control Regulation for Greater M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessing officer has added difference of Rs. 93,46,548/- in the total income of the assessee after applying the provisions of section 56(2)(x) of the Act. The assessee has submitted the copies of allotment letter of flat no. 1601 & 1701 dated 18.03.2011 wherein it is categorically stated that said flat has been allotted to the assessee and the assessee had paid Rs. 25,00,000/-. The assessee has also referred the allotment letter issued on 26.04.2016 placed in the paper book filed before us. We have perused the said allotment letter wherein it is specifically incorporated that due to change in Development Control Regulation for Greater Mumbai the builder was constrained to alter/amend the building plans. In view of the same assessee has been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ovision of section 56(2)(x) of the Act applicable from A.Y. 2017-18, the relevant extract of the provision of section 56(2)(x) is reproduced as under: "Section 56(2)(x) Where any person receives, in any previous year from any person or persons on or after the 1st day of April, 2017 (a) any sum of money, without consideration, the aggregate value of which exceeds fifty thousand rupees, the whole of the aggregate value of such sum, (b) any immovable property (A) without consideration, the stamp duty value of which exceeds fifty thousand rupees, the stamp duty value of such property, (4) for a consideration, the stamp duty value of such property as exceeds such consideration, if the amount of such excess is more than the highe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r of such immovable property. In the case of the assessee it has already made part payment of Rs. 25,00,000/- vide RTGS dated 08.02.2011 through banking channel as discussed (supra) in this order. Apart of this even it is settled issue as per the various decisions of ITAT, Mumbai that Stamp Duty Valuation as on date of allotment letter should be considered for purposes of section 56(2)(vii)(b) of the Act. We consider that the respective allotment letters issued to the assessee should be considered as "Agreement to sell" for the purpose of section 56(2)(x) of the Act. Since the assessee has paid the parts of consideration as per the terms and conditions of allotment through banking channels prior to the execution of sale agreement therefore, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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