5% Tolerance Limit u/s 56(2)(x) held retrospective: ITAT Chennai

SPL Shelters Private Limited Vs DCIT (ITAT Chennai) Chennai ITAT  delivered an important ruling in the cases of SPL Shelters Pvt. Ltd. & Sriprop Properties Pvt. Ltd. for AY 2018-19 wherein it was held that the tolerance limit of 5% introduced in s.56(2)(x) is curative in nature & applicable retrospectively. Consequently, additions made by  AO on account of difference between stamp duty value & purchase consideration were deleted, while the appeals of the Revenue stood dismissed. Dispute arose pursuant to a search in the case of Shri Ram Prasath Reddy, where documents indicated th...