| Question And Answer | |
|---|---|
| Subject: | While computing the capital gains Does subsequent registration of the documents have to adopt the higher value than the guideline value, for which the latest registration of the property executed? |
| Category: | Income-Tax |
| Querist: | K.R.Ganesh |
| Answered by: | Advocate Neelam Jadhav |
| Tags: | Capital Gains, subsequent registration |
| Date: | May 15, 2021 |
Does subsequent registration of the documents have to adopt the higher value than the guideline value, for which the latest registration of the property executed?
Since there is a gap between the date of execution of sale agreement and sale deed and if the guideline value changes, the guideline value as on the date of agreement has to be considered as the full value of the consideration of the capital gains. Since enforceable agreement was entered in the financial years 2006-2007 and 2007-2008 and for the purpose of computation of capital gains in the hands of the assessee, the A.O. has to be adopted the guideline value as on the date of sale of the agreement and not on the date of sale deed which is the latest registration. Refer in Ramesh Govindbhai Patel. v. ITO (2020) 184 ITD 731 (Ahd) (Trib.) held that agreement fixing amount of consideration and date of registration of property is different . Stamp valuation on date of agreement was to be taken for purposes of computing full value of consideration