In absence of any evidence to contradict Value in valuation report of registered valuer is to be taken as fair market value as on 01.04.1981

Brief of the case

In the case of Shri Barjinder Singh Bhatti vs. ITO ITAT has held that in absence of not having any evidence or material before him to contradict the report of the Registered Valuer, AO cannot reject valuation report of Registered Valuer.

Facts of the case

1. During the year under consideration, the assessee had sold some lands at village Barnala Kalan on different dates and worked out capital gain of RS 4684429/-.The value of the land as on 01.04.1981 was taken on the basis of valuation made by a registered valuer . The Assessing Officer noticed from the valuation report that the valuation was done at 3.5 times of the sale rate as per the registered deed in 1981 @ 24,000/-per kanal .

2. The Assessing Officer was of the view that the valuer had ignored concrete evidence i.e. sales registration deed made in 1981, which was the base for the valuation report and had, resorted to expectation and imagination that in that area, pr ice/ value of land must have been 4 to5 times higher than that shown in the registration deed. He accordingly adopted the rate of Rs. 24,000/- per kanal as on 01.04.1981 for the purposes of computing capital gain.

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