Section 50C does not apply to “rights” in land & building like tenancy rights

Kishori Sharad Gaitonde Vs. ITO (ITAT Mumbai) The assessee, a tenant in a flat, sold tenancy rights for Rs. 30 lakhs and offered long-term capital gains on the basis that the said sum was the consideration. The AO took the view that as the market value adopted the Sub-Registrar was Rs. 33,11,200, the said market value had to be adopted as the consideration u/s 50C. This was confirmed by the CIT (A). On appeal by the assessee, HELD allowing the appeal: (i) S. 50C is a deeming provision and incorporates a legal fiction that if the consideration received on transfer of land or building is less th...