Amit Roy Vs ITO (Calcutta High Court)
Summary: The petitioner challenged the legality and validity of the reference made by the Assessing Officer to the departmental Valuation Officer (DVO) vide letter No. ITBA/COM/F/17/2026-26/1088378438(1) dated 9th April, 2026 for Assessment Year 2014-15.
The petitioner stated that the assessment order for AY 2014-15 had been passed by the Assessing Officer on 29th December, 2016 and that an appeal was preferred before the Commissioner of Income Tax (Appeals) on 16th March, 2026 concerning valuation of the property situated at Jharkhand. According to the petitioner, the CIT(A), by order dated 16th March, 2026, directed that the stamp duty value of Rs.57,92,000/- be adopted for computation of capital gains, while alternatively granting the Assessing Officer liberty to refer the matter to the DVO if he considered that the stamp duty value did not reflect the fair market value.
The petitioner contended that the Assessing Officer’s subsequent reference to the DVO dated 9th April, 2026 was contrary to the appellate direction and was without jurisdiction. It was further submitted that an Assessing Officer is bound by the direction of the Appellate Authority, with reliance placed on ITO vs. Murlidhar Bhagwan Das, 52 ITR 335. The petitioner also stated that the Assessing Officer had been informed by email about the binding nature of the appellate order, but the reference was nevertheless made.
