COMMISSIONER OF INCOME TAX Vs. TARA CHAND JAIN

JUDGEMENT

(1.) A statement of the case has been submitted by the Income-tax Appellate Tribunal, 'A' Bench, Patna (hereinafter referred as "the Tribunal"), under Section 256(1) of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), at the instance of the Commissioner of Income-tax, Bihar, Patna, referring the following question of law for the opinion of this court:

(2.) THE facts may be briefly pointed out. In the assessment year 1969-70, the assessee sold 13 kathas 8 chataks of land to various persons as mentioned in the assessment order by the Income-tax Officer for a total consideration of Rs. 40,500. THE Income-tax Officer, in view of the reasons stated in the earlier years, held that capital gains was attracted on the basis of the past records. He estimated the value on January 1, 1954, at Rs. 500 per katha, which came to Rs. 6,750. As the land was sold for Rs. 40,500, he worked out the capital gains at Rs. 33,750 and added it in the total income of the assessee. THE assessment order of the Income-tax Officer has been annexed and marked annexure A forming part of the statement of the case.