{"id":29813,"date":"2022-09-17T08:12:32","date_gmt":"2022-09-17T02:42:32","guid":{"rendered":"https:\/\/itatonline.org\/digest\/?post_type=qa&#038;p=29813"},"modified":"2022-09-20T05:55:02","modified_gmt":"2022-09-20T00:25:02","slug":"difference-between-stamp-duty-and-agreement-value-is-about-5-3-ay-2020-21-being-added-to-income","status":"publish","type":"qa","link":"https:\/\/itatonline.org\/digest\/qa\/difference-between-stamp-duty-and-agreement-value-is-about-5-3-ay-2020-21-being-added-to-income\/","title":{"rendered":"Difference between Stamp duty and Agreement value is about 5.3% AY 2020-21 being added to Income"},"content":{"rendered":"<p>In October 2019, the assessee bought a property at a FMV as stated in a valuation report by a CBDT empaneled valuation officer who is also a valuation officer for the Honourable High Court of Calcutta.<\/p>\n<p>In the valuation report, it was stated that the Stamp duty value of the property would be about 5.55% higher than the FMV of the property.<\/p>\n<p>The assessee proceeded with the agreement of sale on the basis of the valuation FMV in October 2019 and registered the property in March 2020.<\/p>\n<p>The Assessing officer now intends to include the difference in Stamp Duty value and FMV (agreement price) in the assessee&#8217;s income as Income from other sources for the AY 2020-21 per Section 56(2)(x) and proceed with penalty proceedings under Section 270A for under-reporting of income.<\/p>\n<p>The additional income would be about 12L+ for AY 2020-21 for a currently unknown tax penalty.<\/p>\n<p>Is there any merit in the assessee disputing the AO&#8217;s order given that the agreement was based on a valuation officer&#8217;s FMV.<\/p>\n<p>Also, would there be any merit in the assessee appealing the penalty proceedings given that there was no attempt to under-report or mis-report the income in that year.<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","qa_expert":[33],"qa_category":[23],"qa_tag":[697,24,32],"class_list":["post-29813","qa","type-qa","status-publish","hentry","qa_expert-advocate-shashi-ashok-bekal","qa_category-income-tax","qa_tag-agreement-value","qa_tag-capital-gains","qa_tag-stamp-duty"],"acf":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa\/29813","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/qa"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=29813"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=29813"}],"wp:term":[{"taxonomy":"qa_expert","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_expert?post=29813"},{"taxonomy":"qa_category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_category?post=29813"},{"taxonomy":"qa_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_tag?post=29813"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}