Stamp duty value on the date of registration of the property as against valuation on the date of booking of the flats

IN THE INCOME TAX APPELLATE TRIBUNAL, ‘A‘ BENCH MUMBAI
BEFORE: SHRI M.BALAGANESH, ACCOUNTANT MEMBER
&
SHRI AMARJIT SINGH, JUDICIAL MEMBER
ITA No.545/Mum/2021 (Assessment Year :2015-16)

Mr. Akib Arif Patel 701, A Wing, Fine Touch CHSL 73, Souter Street Near Baby Garden Agripada, Mumbai-400 008

PAN/GIR No.ASNPP5176D

vs

Principal Commissioner of Income Tax-20, Mumbai Piramal Chamber, Lal Baug Parel, Mumbai-400 013

Assessee by
Shri Rajiv Khandelwal
Revenue by
Shri Rajeev Harit
Date of Hearing
17/08/2021
Date of Pronouncement
30/ 08/2021

O R D E R

This appeal in ITA No.545/Mum/2021 for A.Y.2015-16 preferred by the order against the revision order of the ld. Principal Commissioner of Income Tax-20, Mumbai u/s.263 of the Act dated 11/03/2021 for the A.Y.2015-16.

2. We have heard rival submissions and perused the materials available on record. We find that assessee is an individual and had filed his return of income for the A.Y.2015-16 on 31/03/2017 declaring total income of Rs.78,19,090/-. The assessee is engaged in the business of real estate development and re-development of old buildings in Mumbai. During the year under consideration, the assessee has shown income under the head ‘income from business or profession’. During the course of assessment proceedings, the assessee furnished details of flats sold along with copies of agreement thereof before the ld. AO.

3. From the reading of the aforesaid provisions of 43CA(3) of the Act, it is very clear that stamp duty valuation on the date of booking is to be considered and the said stamp duty valuation shall have to be compared with actual sale consideration. This has been done by the ld. AO and hence, it could be safely concluded that the ld. AO had taken a plausible view in the matter by applying the provisions of the Act. We find that there is no incorrect application of law on the part of the ld. AO as alleged by the ld. PCIT.

4. In the result, appeal of the assessee is allowed. Order pronounced on 30/ 08 /2021 by way of proper mentioning in the notice board.

Please find attached the enclosed file for the full judgement