Case Law Details
Virendra Singh Verma Vs ITO (ITAT Jaipur)
Brief facts of the case are that the assessee filed his return voluntarily on 08.10.2014 declaring total income of Rs. 1,30,00,000/- and paid tax on the long term capital gain calculated as per actual sale consideration. Later on 10.2014 the assessee was issued notice under section 148 for difference in stamp value in sale consideration as disclosed in return of income and as assessed by registrar stamps (i.e. Rs. 1,91,50,085/-) however later the matter was referred under section 50C(2) to departmental valuer who assessed the same at Rs. 1,71,72,400/- thereby resulting into an addition of Rs. 23,23,310/-. Thus the above addition is on account of deeming provision (i.e. section 50C). The variation in the sales value versus value as adopted by departmental valuer as per Section 50C shows that there is no withholding or misrepresentation of facts by the assessee before the AO. The concealment is always with reference to the facts and it cannot be imposed with reference to claim or disallowance on difference of opinion. The addition has been only based upon the estimates and values obtained from the departmental valuer in preference to the value as per sales deed. Thus no facts, evidence or transaction has even been concealed. Thus it is neither technical error nor intentional but is only a “bonafide belief” & does not tantamount to be furnishing of inaccurate particulars.
In this case AO has considered the full value consideration U/s 50C as against the actual sale consideration declared by the assessee. The increased of value by the AO in the full value consideration does not amount either concealment of particulars of income or furnishing inaccurate particulars of income. Further we observed additions made on values of Dy. Registrar office being deemed value and even additions on such deemed value accepted by assessee it cannot be said furnishing of inaccurate particular for levy of penalty of concealment u/sec. 271(1)(c).
FULL TEXT OF THE ORDER OF ITAT JAIPUR
This appeal of the assessee is directed against the order dated 10.06.2019 of ld. CIT(A)- Ajmer, arising from penalty order passed U/s. 271(1)(c) of the Income Tax Act, 1961 (in short the “Act”) for the assessment year 2012-13.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
