COMMISSIONER OF INCOME TAX Vs. PANCHANAN DAS

JUDGEMENT

(1.) This appeal arises out of acquisition proceedings taken under Chapter XX-A of the Income-tax Act, 1961, initiated in respect of transfer of premises No. 55, Malanga Lane, Calcutta, by one Anil Charan Law to Panchanan Das, the respondent in these proceedings. The transfer was effected by a registered deed dated 30th May, 1973, and the consideration therefor was Rs. 41,000.

(2.) It is not in dispute that the premises No. 55, Malanga Lane, Calcutta (hereinafter referred to as "the said property") consisted of 6 cottahs 8 chataks of land with a partly two-storeyed and partly three-storeyed building thereon. The covered area on the ground floor of the building was 3,700 sq, ft., the area on the first floor was 3,177 sq. ft. and on the second floor 150 sq. ft.

(3.) On receiving information of the aforesaid transfer the competent authority appointed under Section 269B of the I.T. Act, 1961, felt that the apparent consideration for the said transfer was less than the fair market value of the said property. Thereupon the competent authority got the property valued by the official valuer who determined the fair market value of the said property as at the date of sale at Rs. 70,400. The official valuer submitted this valuation in his report dated 17th November, 1973 (sic).