Pradeep Parikh, A.M.: - (1.) THE assessee is in appeal before us against the order of the learned Commissioner of Gift Tax (Appeals), dated 9-3-1993 for assessment year 1986-87. Earlier, this appeal was dismissed by the Tribunal vide its order dated 17-10-2001 for want of prosecution. Subsequently, in the interest of justice, Tribunal recalled its earlier order vide order dated 3-1-2003 in MA No. 40/Rjt/2002. THE appeal is now being disposed of after hearing the parties and after considering the material on record.
(2.) Though only one issue is involved in the appeal, as many as twelve grounds are raised. in the appeal, most of which are argumentative and narrative in nature. This is contrary to rule 8 of the ITAT Rules, 1963. The appeal is liable to be dismissed on this ground itself. However, as mentioned earlier, in the interest of justice, we refrain from doing so. The only grievance of the assessee is against the determination of taxable gift at Rs. 25,64,256 under section 4(1)(a) of the GT Act, 1958 (the Act).
(3.) DURING the year under consideration, assessee had transferred certain assets consisting of plant and machinery and freehold land for a consideration of Rs. 76,35,000 and Rs. 32,00,000, respectively, to M/s. Wipro Ltd. Capital gains arising from these transactions were duly offered for taxation. Under the gift-tax proceedings, the assessing officer was of the view that the assets were transferred at a low price compared to the market value and hence the matter was referred to the Departmental Valuation Officer (DVO). The DVO determined the value of plant and machinery at Rs. 86,85,480 and that of the freehold land at Rs. 47,18,776. Thus, the assessing officer was convinced that provisions of section 4(1)(a) were applicable and hence, asked the assessee to furnish its gift-tax return by issuing notice under section 16 of the Act. Assessee responded by filing the return declaring taxable gift at Rs. Nil.;