Case Law Details
DCIT Vs Nitin Gupta (ITAT Raipur)
Introduction: In a recent case before the Income Tax Appellate Tribunal (ITAT) in Raipur, the matter of DCIT vs. Nitin Gupta revolved around the assessment of property value under Section 50C of the Income Tax Act. This section deals with the computation of the full value of consideration for property transfers. The case originated from an assessment for the fiscal year 2015-16. In this article, we will delve into the details of the case and the ITAT’s ruling on the matter.
Detailed Analysis:
1. Background: The appellant, Nitin Gupta, had filed his income tax return for the assessment year 2015-16, declaring an income of Rs. 82,84,786/-. The original assessment was completed by the Assessing Officer (AO) under Section 143(3) of the Income Tax Act on December 11, 2017.
2. Error Identification: Subsequently, the AO noticed an error in the original assessment related to Long Term Capital Gains (LTCG) arising from the sale of agricultural land in Raipur. The AO had accepted the LTCG based on the sale consideration provided by the taxpayer, which was Rs. 66 lakhs. However, this amount did not conform to the provisions of Section 50C of the Act.
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