| Question And Answer | |
|---|---|
| Subject: | 45[3] |
| Category: | Income-Tax |
| Querist: | bs |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | Introduction of land |
| Date: | April 29, 2023 |
Introduction of a land by a partner in AOP doing building work
Is it eligible for 45[3] or not?
Yes, section 45(3) of the Act is applicable. The amount recorded in the books of account will be the full value of consideration. In the case of Network Construction Company v. ACIT [2020] 185 ITD 318/119 taxmann.com186 (Mum. – Trib.) it was held that provisions of section 50C of the Income-tax Act, 1961 will not operate where section 45(3) of the Act is operating.
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