Itta/114/2014 Of The Commissioner Of Income Tax (Central) v. M/S. Tourist India Convention And Hotel Pvt.ltd

IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH ATHYDERABAD THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTAANDTHE HON’BLE SRI JUSTICE SANJAY KUMAR I.T.T.A. No. 114 of 2014 Date: 25.02.2014 Between: The Commissioner of Income Tax (Central),Hyderabad. … Appellant And M/s. Tourist India Convention & Hotel Pvt., Ltd.,Hyderabad. … Respondent This Court made the following: THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTAANDTHE HON’BLE SRI JUSTICE SANJAY KUMAR I.T.T.A. No. 114 of 2014 JUDGMENT:(Per the Hon’ble The Chief Justice Sri Kalyan Jyoti Sengupta) This appeal is sought to be preferred against the judgment andorder of the learned Tribunal dated 11.03.2013 and sought to be admitted on the following suggested questions of law. “1. Whether the ITAT was justified in confirming the order ofCIT(A) observing that addition cannot be based on the valuationreport whereas the fact remains that the Government valuer haveadmitted that the said valuation report was prepared for the assesseecompany as approached by them? 2. Whether the order of the ITAT is not perverse in holding thatthe AO is not entitled to refer to some valuation report submitted tothe bank for the purpose of availing loan and to make addition on thatbasis which is contrary to the fact on record as the Governmentvaluer categorically admitted that the assessee companyapproached him for valuation of the assets and there was noreference from any bank for preparation of valuation report?” It appears that the addition was made by the Assessing Officer basing on the valuation report found during the course of surveyoperation. The learned Tribunal has correctly opined that valuationreport found during the course of survey operation is not a legallyacceptable document to be relied on, as it is merely an information. Thelearned Tribunal has followed the decisions of various Tribunals as wellas the High Court on this issue, which is a settled one. Therefore, we do not entertain this appeal and dismiss the same,as no point is involved in this appeal. No order as to costs. ___________________ Date: 25.02.2014ES K.J. SENGUPTA, CJ ___________________ SANJAY KUMAR, J