Harivadanbhai Maganlal Patel Vs ITO (ITAT Surat)
The assessee filed an appeal before the Income Tax Appellate Tribunal (ITAT), Surat, against the order of the National Faceless Appeal Centre (NFAC) dated 04.11.2022 for Assessment Year 2013-14, arising from an assessment order passed under Section 143(3) read with Section 147 of the Income-tax Act, 1961. The appeal was delayed by 15 days. Accepting the explanation that the physical copy of the appellate order was not received in time and relying on the Supreme Court’s decision in Collector of Land Acquisition vs. Mst Khatiji, the Tribunal condoned the delay and admitted the appeal.
The assessee, one of four co-owners, had sold two immovable properties during the relevant year. The Assessing Officer found that the assessee had disclosed only one property transaction in the return filed in response to the notice under Section 148 and had not adopted the stamp duty value under Section 50C. After recording reasons and issuing notice under Section 148, the Assessing Officer completed the reassessment and added ₹1,17,90,250 as long-term capital gains under Section 50C, comprising the assessee’s share in both properties. The NFAC/CIT(A) sustained the addition, holding that the assessee did not satisfy the conditions of Section 50C.
