Case Law Details
ACIT Vs Precision Realtors P. Ltd. (ITAT Delhi)
A perusal of the sale deed show that the seller was the absolute owner and was in actual possession of the impugned property. Nowhere in the sale deed, there is a mention of encumbrance / encroachment in the impugned property. This fact has been completely ignored by the first appellate authority.
In our considered view if there were no encroachment no encumbrances on the impugned property there should not be any reason why the payments were made by the assessee. Since the basic fact has not been appreciated by the first appellate authority we deem it fit to restore the appeal and the cross objection to the files of the CIT(A). The CIT(A) is directed to examine each and every sale deed and verify whether the impugned property was encroached/ encumbered by the occupants to whom the assessee paid compensation. The CIT(A) is directed to decide the issue afresh after affording a reasonable and sufficient opportunity of being heard to the assessee.
FULL TEXT OF THE ORDER OF ITAT DELHI
ITA No.3588/Del/2016 and Cross Objection No.288/Del/2016 are appeal by the revenue and cross objection by the assessee directed towards the order of the CIT(A)-29, New Delhi dated 30.03.2016 pertaining to A.Y.2011-12.
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