Stamp expenses and section 43CA

Whether you have offered income for IT return as Basic Flat Cost+Stamp duty+registration fees

i.e. what is your agreement value shown on index-II

You can argue that value mentioned in the deed is only towards the transfer of the property and does not include reimbursement of stamp duty and other charges. Bearing the expenses of transfer is a mere agreement between the parties and does not alter the character/magnitude of the transaction price

Thanks for the guidance. The guideline value and received consideration are same. In the sale deed it is mentioned that the seller has borne the expenses on sale registration. The Indian Stamp Act provides that unless otherwise agreed upon, in case of sale of immovable property the stamp duty is to be borne by the purchaser . In the instant case it is specifically mentioned in the conveyance deed but the assessing officer says that the seller has given a discount in form of stamp duty and registration charges and hereby the net consideration received is lesser than the guideline value. The assessee has booked the sales as receipt and debited stamp duty as expenses and there is no netting of sales in the books of account.

You can make this submission and submit all the supportings (ledgers, accounting entries) to support our contention at the assessment stage itself (assuming the assessment is not over yet) so that it may help you at the appeal stage even if AO disagrees with our view

If total value is shown as income and amount of stamp duty and registration fees is debited to P&L then no question of section 43CA arises, AO can not make suo-moto assumption