INCOME TAX ACT, 1961

--Income from undisclosed sources--Addition under section 69BInvestment in properties--Assessee purchased three properties. AO was of the view that cost of acquisition of properties as shown in sale deed was much lower than fair market value thereof. He referred matter to valuation cell. DVO's report indicated value of properties on higher side by Rs. 12.54 lakhs. AO made addition. CIT(A) deleted addition on the ground that apart from report of DVO there was no evidence on record that some extra consideration was paid. Tribunal upheld CIT(A)'s decision. It held that condition precedent for applicability of section 69B was not fulfilled. Held: ,/i>AO solely relied upon report of DVO. Apart from this there was admittedly no evidence or material in his possession to come to conclusion that assessee had paid extra consideration over and above stated in sale deed. Having regard to consistent views taken by court in various judgments appeal was decided in assessee's favour.

Income Tax Act, 1961 Section 69B

IN THE DELHI HIGH COURT

A. K. SIKRI & SURESH KAIT JJ.

CIT v. Puneet Sabharwal

ITA No. 758 of 2005

3 December, 2010

Appellant by : Abhishek Maratha, Senior Standing counsel,

Respondent by : O.S. Bajpai, Senior Advocate, with B. K. Singh, Advocate,

A.K. Sikri J.