Transfer of Assets under JDA: HC upheld guidance value of land as mode for determination of full value of consideration

PCIT Vs Smt. Sarojini M. Kushe (Karnataka High Court) In the present case, Assessing Officer has adopted the rate of Rs. 1600/- per square feet merely based on the letter given by the developer which is not supported with any particulars. It cannot be ruled out the possibility of the developer giving an inflated figure to suit his requirements in order to gain minimum tax on his profits by inflating his costs. As such, the basis for determination of full value of consideration by the Assessing Officer based on the letter of the developer cannot be appropriate. No doubt at the relevant period, ...