COMMISSIONER OF INCOME TAX Vs. R RAJARATHNAM

JUDGEMENT

(1.) THE Tribunal has taken the view that no case has been made out to invoke section 269C of the Income Tax Act, 1961, (hereinafter referred to as "the Act"), in relation to the property sold to the assessee under a sale deed dated 11-12-1985. THE apparent sale consideration in the sale deed was Rs. 9,50,000. THE property is situated in Poonamallee High Road, Kilpauk, Madras.

(2.) THE Inspecting Assistant Commissioner had made an order under section 269F(6) for the acquisition of the property. In that order he held that the fair market value of the transferred property exceeded the apparent consideration by more than 15 per cent and that the consideration for such transfer had not been truly stated in the instrument of transfer with the object mentioned in clauses (a) and (b) of section 269C of the Income Tax Act, 1961.