COMMISSIONER OF INCOME TAX Vs. PRITHVIRAJ MAHESHWARI

JUDGEMENT

(1.) ON an application under s. 26(1) of the GT Act, the Tribunal has referred the following question for our opinion :

(2.) THE assessee had sold 49.50 Bighas of land on 1st July, 1972. No return of gift was filed by the assessee. However, the GTO later on had the opinion that the assessee had sold land to persons closely related to him at a very nominal rates which was much below the market value and as such, the difference between the market value and the actual price at which the land has been sold is a deemed gift.

(3.) MR. Bhojwani submits that in the income-tax proceedings various queries were raised regarding sale of some 50 Bighas of agricultural land and after considering the reply of the assessee, no addition was made. He further submits that the ITO, GTO and WTO is one and the same officer and when the value disclosed has been accepted in the income-tax proceedings, there is no justification to assess the assessee on deemed gift for the same transaction taking higher value of the same land.