Ambalal Hiralal Oza Vs ITO (ITAT Ahmedabad)
The Income Tax Appellate Tribunal (ITAT), Ahmedabad, has condoned a significant delay of 332 days in an appeal filed by an 83-year-old taxpayer, Ambalal Hiralal Oza. The decision was based on an affidavit from the assessee, who cited age, poor health due to diabetic and blood pressure issues, and lack of communication from his tax consultant as reasons for the delay. The ITAT, finding the reasons satisfactory and not intentional, accepted the appeal.
The core of the case involves the sale of an immovable property by the assessee and his wife, who were co-owners, for Rs. 60,00,000. The Stamp Duty Authority valued the property higher at Rs. 94,43,030. Consequently, the Assessing Officer (AO) invoked Section 50C of the Income-tax Act, 1961, and determined the capital gains based on this higher value. A subsequent referral to the District Valuation Officer resulted in a valuation of Rs. 74,36,400.
A crucial point in the ITAT’s decision was a judicial precedent involving the assessee’s wife, who was a co-owner of the same property. In a separate but related appeal, the Tribunal, in the case ITA No.2028/Ahd/2018, had set aside the matter and directed the AO to re-evaluate the sale consideration. The Tribunal noted that the valuation by the District Valuation Officer was “on the excessive side” and did not adequately consider comparable properties or other market factors.
