The assessee transferred an immoveable property as a capital contribution in to ATL H0spitality . The assessee while computing the capital gain on transfer of \u00a0land in to partnership has taken the value as recorded \u00a0in the books of the firm as per provision of S.45(3) of the Act .i.e \u00a0Rs 5.60 crores as the full value of consideration deemed to have been received or \u00a0accrued \u00a0as a result \u00a0of transfer of capital asset to the partnership firm . \u00a0The AO applied the provisions of S.50C\u00a0 and valued at Rs 9,41 , 78 ,500\u00a0 ,being the value determined by the Stamp Valuation Authority at the time of registration of the supplementary partnership deed. The CIT (A) up held the order of the AO . On appeal the \u00a0Tribunal held that \u00a0a plain reading of provisions of S.45(3) makes it clear that it comes in to operation only on a special cases of transfer between partnership firm and partners and in such circumstances , a deemed full \u00a0value of consideration shall be considered for the purpose of computation of capital gain as per which the amount recorded in the books of account of the firm shall be taken as a full value of consideration. Though the provision of S.45(3) is not specific provision overrides the other provisions of the Act .Importing a deeming \u00a0fiction provided in S.50C of the Act\u00a0 cannot extended to another to another deeming fiction created by the statute by way of S.45(3) to deal with special case of transfer . Accordingly the finding of the CIT (A) is reversed \u00a0and appeal of the assessee is allowed . ( ITA NO 6050\/M\/2016 \/ ITA No 1614 \/ Mum\/2016 dt 29 -12 -2017 (AY. 2012 -13 )<\/p>\n
\u00a0<\/p>\n
( Editorial : <\/strong>\u00a0decision in Carlton Hotel Pvt Ltd v ACIT (2009 ) 122 ITTJ 515 (Luck) (Trib ) is distinguished , High Court set aside the order of the Tribunal , CIT v. Carlton Hotel Pvt Ltd ( 2017) 399 ITR 611 (All) (HC), SLP of the assessee is dismissed , Carlton Hotel Pvt Ltd v ACIT (SC). \u00a0Followed\u00a0 CIT v Moon Mills Ltd ( 1966) 59 ITR 574(SC), also refer , Shri Sarrangan Ashok v. ITO , ITA No 544 \/Chny\/ 2019\u00a0 dt 19-08 -2019 ( AY. 2015 -16 ), D.R.Yadav v R.K Singh ( 2003) 7 SCC 110 , ACIT v Moti Ramnanad Sagar\u00a0 , ITA NO 2049\/Mum\/ 2017 \/ 1690 \/Mum\/ 2017 \u00a0dt 28 -02 -2019 (AY. 2012 -13) \u00a0ITO v Chiraayu Estate & Dev Pvt Ltd ITA No. 263\/Mum\/2010 dt. 24 -08 , 2011 (AY. 2006 -07) \u00a0\u00a0ITO v. Sheila\u00a0 Sen , ITA No. 554 \/Kol\/2016 dt \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a07 -09 -2018 (AY. 2006 -07) Navneet Kumar Thakkar v ITO (2008) 110 ITD 525 ( Jodhpur )( Trib) \u00a0\u00a0)<\/p>\n \u00a0<\/p>\n","protected":false},"excerpt":{"rendered":" S. 45(3) : Capital gains – Transfer of capital asset to firm \u2013 AOP \u2013 BOI \u2013 Full value of consideration \u2013 Stamp valuation- Deemed full value of consideration shall be considered for the purpose of computation of capital gain as per which the amount recorded in the books of account of the firm shall be taken as a full value of consideration- Provision of S.50C is not applicable- Special provision of S.45(3) override the general provision of S.50C of the Act . [ S.45 ,48, 50C ] <\/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":[1],"tags":[],"class_list":["post-9439","post","type-post","status-publish","format-standard","hentry","category-digest"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-2sf","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/9439","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=9439"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/9439\/revisions"}],"predecessor-version":[{"id":9440,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/9439\/revisions\/9440"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=9439"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=9439"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=9439"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}