During search in case of group companies of assessee, a Memorandum of Understanding (MoU) was found, indicating that 50 per cent share in a jointly held property had been transferred to a third party. Based on DVO\u2019s report estimating market value of property at \u20b9150 crores, Assessing Officer made addition under section 68 of the Act. DVO also reported that no investment or structural changes were made by assessee during relevant year.CIT(A) deleted the addition. On appeal by revenue, the Tribunal reversed the finding of CIT(A). On appeal the Court held that\u00a0 the\u00a0 assessee had not transferred any title or interest in said property, and that transaction, if any, was between shareholders of assessee company by way of share transfer to third party. Therefore, income or deemed income had arisen in hands of transferors and not assessees. Thus, Assessing Officer was not justified in making additions under section 68 on basis of estimation of market value of property that had neither been sold nor transferred by assessees.Therefore incidence of tax, if any, would be confined to transacting parties.\u00a0 (AY.2011-12)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 68 : Cash credits-Shares-Sale of property-DVO\u2019s report estimating market value of property that was neither sold nor transferred by assessee-Incidence of tax, if any, would be confined to transacting parties-Addition affirmed by the Tribunal deleted.[S. 260A]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-59425","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-fst","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/59425","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=59425"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/59425\/revisions"}],"predecessor-version":[{"id":59426,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/59425\/revisions\/59426"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=59425"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=59425"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=59425"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}