Sale Below Stamp Duty Value Justified by Title Dispute & 5% Variation: ITAT Deletes Addition

Deepakkumar Chandulal Shah Vs ITO (ITAT Ahmedabad) Income Tax Appellate Tribunal (ITAT) Ahmedabad Bench has ruled in favor of Deepakkumar Chandulal Shah, deleting an addition of Rs. 16,12,245 made by tax authorities under Section 56(2)(x) of the Income Tax Act, 1961. The dispute centered on the sale value of a property purchased by the assessee, which was less than the prevailing stamp duty valuation. The Assessing Officer (AO) and the Commissioner of Income-Tax (Appeals) had previously upheld the addition, citing the difference between the registered sale deed value and the circle rate. The a...