Mr.X (a real estate dealer) is willing to buy a land situated near by industrial area of 5acres and hold it as stock in trade.
stamp duty value of the property is 110 lakhs..
actually there is no active market as it is near industrial area and seller is selling for 70 lakhs.
question 1: in case of buyer will the difference amount of 40 lakhs invoke section 56(2)(x) even though Mr.X held as stock in trade?
question 2: can we ask the ITO to refer the case to valuation officer for deciding actual value less than Stamp Duty Value?
CAclubindia
