ITAT Kolkata Deletes Section 56(2)(x) Addition for Govt. Property Purchase

Kanha Villa LLP Vs ITO (ITAT Kolkata) Whether addition under Section 56(2)(x) for alleged understatement of consideration is justified where property is purchased from a State Government entity? The Assessee LLP engaged in renting and real estate purchased commercial property at Synthesis Business Park from West Bengal Housing Infrastructure Development Corporation Ltd. (WBHIDCO) a State Government entity by paying Rs. 4,76,50,200 whereas the market value of the property was determined at Rs. 11,36,27,400 and the AO treated difference Rs. 6,59,77,200 as deemed income u/s 56(2)(x). Upon challe...