ITAT nullifies AO’s attempt to value property as per the DVO’s valuation:


ITAT nullifies AO’s attempt to value property as per the DVO’s valuation:


Sri Arijit Chakraborty verses ITO

Case Number: I.T.A. No.287/Kol/2013


  1. The assessee had sold his property whose sale value and market value evaluated by the Departmental Valuation Officer (DVO) at the time of sale, is different.
  1. On being asked to explain in this respect, the assessee had submitted that the property, in question, was a cinema hall and certain members of political party were preventing the assessee from peaceful use and enjoyment of the said property.
  1. The assessee, therefore, to get rid of the continuous harassment and day to day problems, had made distressed sale of the property at such cost. However, the said contention of the assessee did not find favour with the Income Tax authorities and even before this Tribunal.
  1. The assessee thereafter filed an appeal before the High Court. The High Court observed that in this respect more evidence was required to be furnished by the assessee and hence, set aside the matter back to this Tribunal to consider the valuation aspect in accordance with law by a reasoned order within one year from the date of communication of the order.

ITAT Kolkata held as below:

  1. The assessee has produced on record a paper-book containing several documents which show that the assessee was prevented from peaceful use and enjoyment of his property by certain persons/members of political party. The assessee has placed many copies of complaints made to various authorities including Police Authorities and District Administration.
  1. The problems of the assessee continued over the years and the assessee during the period has made sincere efforts by approaching to the different authorities and requested them to stop the agitators from preventing the assessee from peaceful enjoyment of his property and running the cinema hall. After making entire efforts, when the administration failed to help the assessee, the assessee, under the circumstances, to get rid of the problem, sold the property at a lower rate.
  1. The appeal by the assessee is hereby allowed.


The copy of the order is as under: