| Case ID |
3cb280ba-3f62-4461-8489-d283d31240d1 |
| Body |
View case body. Login to View |
| Case Number |
IT APPEAL No. 1 OF 1985 |
| Decision Date |
Jun 02, 1987 |
| Hearing Date |
|
| Decision |
The Tribunal's ruling was upheld, affirming that the fair market value of the property was correctly assessed by the Tribunal. The case involved the acquisition of property under Section 269C of the Income-tax Act, where the department's valuation exceeded the declared consideration significantly. The Tribunal noted that the valuation based on actual rental income was more accurate than the gross rent figures submitted by the respondent. The court emphasized that the valuation should consider only the rent directly payable to the landlord, excluding any rents collected from sub-tenants. The appeal by the revenue was dismissed, confirming the Tribunal's findings as reasonable and supported by relevant evidence. |
| Summary |
In the case of IT Appeal No. 1 of 1985, decided by the Calcutta High Court, the core issue revolved around the acquisition of immovable property under the Income-tax Act, 1961, specifically sections 269C and 269H. The case involved the Commissioner of Income Tax as the petitioner and Smt. Asha Devi Agarwal as the respondent. The Tribunal had previously set aside the IAC's acquisition orders, leading to an appeal by the revenue. The court held that the Tribunal's acceptance of the property's valuation as declared by the respondent was justified, emphasizing that the correct method of valuation must focus on rent payable directly to landlords, excluding sub-tenants. This ruling reinforces the principle that acquisition proceedings must adhere to established valuation methods, ensuring fairness and compliance with legal standards. The case highlights the importance of accurate property valuation in tax law, making it relevant for legal practitioners and property owners alike. Keywords: Income-tax Act, property acquisition, fair market value, Calcutta High Court, rental income valuation. |
| Court |
Calcutta High Court
|
| Entities Involved |
Not available
|
| Judges |
Dipak Kumar Sen,
Shyamal Kumar Sen
|
| Lawyers |
Not available
|
| Petitioners |
Commissioner of Income Tax
|
| Respondents |
Smt. Asha Devi Agarwal
|
| Citations |
1988 SLD 1478,
(1988) 169 ITR 400
|
| Other Citations |
CIT v. Shilaben Kanchanlal Rana [1980] 124 ITR 420 (Guj.),
Kishan Lal v. IAC [1983] 142 ITR 312 (All.),
State of Maharashtra v. Mayer Hans George AIR 1965 SC 722,
Girnar Builders (P.) Ltd. v. IAC [1985] 156 ITR 403 (Kar.),
State of Madhya Pradesh v. Ram Ragubir Prasad Agarwal AIR 1979 SC 888,
U.S. Awasthi v. IAC [1977] 107 ITR 796 (All.),
CIT v. Trilokinath [1984] 147 ITR 613(MP),
Navnit Lal C. Javeri v. K.K. Sen, AAC [1965] 56 ITR 198 (SC)
|
| Laws Involved |
Income-tax Act, 1961
|
| Sections |
269C,
269H
|