| Case ID |
02be207f-c929-4fc7-941a-aed29d279407 |
| Body |
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| Case Number |
WRIT PETITION NO. 554 OF 1993 |
| Decision Date |
Sep 11, 2007 |
| Hearing Date |
|
| Decision |
The petition was allowed, ruling that the impugned order dated February 25, 1993, was invalid because the Appropriate Authority failed to determine the fair market value of the property in question as required by law. The court emphasized that without this determination, it was impossible to conclude that the property was undervalued by the necessary 15%. The court found that the sale instances cited by the Appropriate Authority were not adequately relevant due to location differences, and the petitioners' objections were not considered. As a result, the court quashed the impugned order, stating that the grievance of the petitioners regarding serious infirmities in the order was valid. |
| Summary |
This case revolves around the challenges faced by Vishwa Bandhu Pearyelal Gupta against the order of purchase of a property termed 'Abhishek Bungalow' by the Appropriate Authority under the Income Tax Act, 1961. The petitioners contended that the authority did not ascertain the fair market value of the property, which is a prerequisite for determining whether the property was undervalued. The court's ruling highlighted the necessity of establishing the fair market value before making any claims of undervaluation. This case emphasizes the importance of due process and adherence to legal standards in property acquisition under tax law. Keywords such as 'Income Tax Act', 'fair market value', 'property undervaluation', and 'Bombay High Court' are essential for understanding the implications of this decision. |
| Court |
Bombay High Court
|
| Entities Involved |
Not available
|
| Judges |
F.I. Rebello,
J.P. Devadhar
|
| Lawyers |
P.J. Pardiwala,
R. Ashokan
|
| Petitioners |
Vishwa Bandhu Pearyelal Gupta
|
| Respondents |
S.K. Laul Appropriate Authority
|
| Citations |
2008 SLD 3118,
(2008) 302 ITR 157
|
| Other Citations |
Not available
|
| Laws Involved |
Income Tax Act, 1961
|
| Sections |
269UC,
269UD(1)
|