The Madras High Court directed the assessing officer to rectify the Income Tax Assessment order with regards to the sale consideration based on the District Valuation Officer’s ( DVO ) report.
The validity of an assessment order dated 18.03.2024 has been called into question due to a confirmed variation concerning the variance between the sale consideration of an immovable property, as stated in the relevant conveyance deed, and the guideline value.
During the proceedings, the senior counsel for the petitioner drew attention to paragraph 4.5(c) of the assessment order, noting that it awaited the valuation from the DVO, indicating that the assessment order is subject to rectification upon receipt of the DVO’s valuation report.
Additionally, the counsel presented an order dated 12.04.2024 from the Assistant Valuation Officer-II, Income Tax Department, and an application for rectification dated 16.04.2024.
Mrs. S. Premalatha, junior standing counsel, representing the respondents, acknowledged the availability of the valuation order and suggested remanding the matter for consideration of the valuation report and rectification application.
A single bench of Justice Senthilkumar Ramamoorthy ruled that considering the availability of the valuation report dated 12.04.2024, the assessing officer is directed to reconsider the matter, taking into account the said report and the rectification application.
Further added that the petitioner must be afforded a reasonable opportunity, and the assessing officer is mandated to pass an order on the rectification application within three months from the date of receiving a copy of this order.
Accordingly, the writ petition was disposed of.
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