JUDGEMENT
K.R. Dixit, Judicial Member -
(1.)THIS appeal involves the valuation of certain lands for the purpose of computation of capital gains. The assessee had sold the lands and for the purpose of calculation of capital gains had claimed that the value of the land was Rs. 45 per sq.yd. The ITO, in the original assessment, took the rate of Rs. 28 per sq.yd. The Commissioner, in exercise of his revisional powers, set aside that order and directed the ITO to reframe the assessment. The ITO in pursuance of that order took the value of the land at Rs. 2.07 per sq.yd. resulting in a substantial assessment of the capital gains. THIS valuation was based on the following evidence: The assessee had received the land on partition of one HUF on 22-10-1970 and in the wealth-tax return for the A.Ys. 1971-72 and 1972-73 of that HUF the value of that land was shown at Rs. 2.07 per sq.yd. THIS valuation was accepted and so the ITO concluded that as on 1-1-64 the value could not exceed that amount. The CIT(A) confirmed that value on the grounds that (i)the assessee's contention that a lower value was shown only for Stamp Duty was not acceptable and (ii) in the wealth-tax assessment of the family members this was the value shown. He has also noticed that the assessee did not point out to the CIT(A) deciding his appeal against the original assessment order that that order has been set aside under Section 263 and as a result thereof the Appellate Commissioner gave some relief to the assessee. Not only that, when the ITO was refraining the assessment pursuant to the revisional order of the Commissioner, the assessee challenged the competency of the Commissioner passing the order under Section 263 on the gound that the CIT(A) had already passed an order. The CIT(A) has also rejected the assessee's argument that the value of the land had been taken at Rs. 8 per sq.yd. in the case of another member of the family.
(2.)At the time of hearing before us, the assessee's counsel pointed out that in the original assessment order the assessee had claimed the value at Rs. 45 per sq.yd. as on 1-1-1964 but the ITO, noticing that there was hardly any development in the area where the land was situate, took the value at Rs. 28 per sq.yd. He has also produced a copy of an assessment order in the case of one Annapurnaben where value of land in the same area and survey number had been taken at Rs. 35 per sq.yd. He has also filed a copy of an appellate order in the case of one Bachubhai Dahyabhai Patel HUF for the A.Y. 1980-81 where for land in the same survey number the rate of Rs. 35 per sq.yd. as on 1-4-64 had been taken.
On the other hand, the learned departmental representative pointed out that in the wealth-tax record of the said Bachubhai Dahyabhai Patel HUF the value of the land was shown at Rs. 2.07 per sq.yd. for the A.Ys. 1970-71 and 1971-72. He pointed out that the assessments in the case of Annapurnaben were made prior to the revisional action taken by the Commissioner.
(3.)THE issue before us is very clear and simple. Are we to go by the assessee's own statement regarding the valuation of that land or are we to go by the valuation in other cases, however similar or even identical they may be? Here is a case of an assessee who has made a statement that the value of the land was Rs. 2.07 per sq.yd. It may be true that this was done for the purpose of Stamp Duty but how can a person be heard to say one thing for the purpose of one Act and quite another for the purpose of another Act? Moreover that valuation at Rs. 2.07 per sq.yd. was with a view to pay lower Stamp Duty. When the assessee has taken such a stand and derived that benefit than that assessee must be held at her own word. Further in the wealth-tax assessments of the HUF the value had been shown at Rs. 2.07 per sq.yd. and obviously with a view to pay less wealth-tax. It is even surprising that this kind of plea is being taken that for the purpose of capital gains that value for other Acts cannot be taken into account. We have, therefore, no hesitation in holding that the value for the purpose of computation of capital gains must be taken at Rs. 2.07 per sq.yd. whatever may be value taken in the case of any other assessee and however close the land of that other assessee maybe.
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