Tribunal held that ; an assessee who understates the consideration received for sale of agricultural land to avoid payment of stamp duty is defrauding the exchequer. He cannot take advantage of his own wrong and is estopped from contending that the amount received from the purchaser is a higher amount than was stated in the agreement. The incremental amount is assessable as ‘income from other sources’ and not as ‘agricultural income’. However, penalty u/s 271(1)(c) cannot be levied for the said wrong claim.( ITA No. 665/Chd/2016 dt .18-1-2018 ( AY. 2013-14)
ACIT v. Mohinder Singh (Chd.)(Trib) www.itatonline.org Malkit Singh v. ITO (Chd.)(Trib) www.itatonline.org
S.56: Income from other sources- Agricultural income –Consideration was not shown to avoid payment of stamp duty-Consideration was held to be assessable as income from other sources and not as agricultural income, however levy of concealment penalty was held to be not justified [ S. 271(1) (c ) ]