IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 13.08.2008 CORAM: THE HONOURABLE MR.JUSTICE K.RAVIRAJA PANDIAN and THE HONOURABLE MRS.JUSTICE P.P.S.JANARTHANA RAJA W.P.Nos.37859 and 37860 of 2007 Rajini Venugopal ..Petitioner in W.P.No.37859/07 Kumudini Venugopal ..Petitioner in W.P.No.37860/07 versus 1. The Additional Commissioner of Income Tax Range II, 347 A, Dr.Nanjappa Road, Coimbatore 641 018. 2. The Income Tax Officer, Ward II (3) Kings Complex, 347, Dr.Nanjappa Road, Coimbatore 641 018. .. Respondents PRAYER: Writ petitions filed under Article 226 of the Constitution of India for issuance of a writ of certiorari to call for the records of the first respondent in his file ABAPV2377G/R.II/2007-2008 and ABEPV8712D/R.II/2007-2008 respectively and quash the impugned order dated 17.12.2007. For Petitioners: Mr.J.Balachander For Respondents: Mr.Ravikumar, Standing Counsel for IT JUDGMENT (Judgment of the Court was delivered by K.RAVIRAJA PANDIAN,J.) The assessees filed the above writ petitions seeking for the relief of writ of certiorari to call for the records of the first respondent in his file ABAPV2377G/R.II/2007-2008 and ABEPV8712D/R.II/2007-2008 respectively and quash the impugned order dated 17.12.2007. https://hcservices.ecourts.gov.in/hcservices/ 2. The above relief has been sought for on the following facts:- When the assessment proceedings for the Assessment year 2005- 2006 are pending before the Income Tax Officer for completion, the Assessing Officer proceeded to complete the assessment by computing the capital gains arising on transfer of a land invoking the provisions of Sec.50C. Objecting to the proposal, the assessees preferred applications under Section 144A seeking intervention of the Additional Commissioner in clarifying the interpretation of provision of Sec.50C to the effect that only the actual sale proceeds received on transfer in the two instances of sale, the Long Term Capital Gains as stated in the return of income has to be admitted. According to the assessees, the actual consideration received was Rs.47 lakhs and Rs.25 lakhs respectively. But the assessment was sought to be finalised on the basis of the value determined by the stamp valuation authority. Whileso, the Assessing Officer referred the issue to the Valuation Officer. Aggrieved by the action of the Assessing Officer referring the matter to the Valuation Officer under Section 50(2)(b), the assessees approached the Addl. Commissioner u/s 144A. The Additional Commissioner of Income Tax by the impugned orders, directed the Assessing Officer to ignore the valuation report arrived at by the Valuation Officer and proceed to finalise the assessment by adopting the value assessed or adopted by the Stamp Valuation Authority as the full value of the consideration for sale. The correctness of the same is now canvassed before this Court in these writ petitions. 3. Mr.J.Balachander, learned counsel appearing for the petitioners submitted that the purchasers aggrieved by the orders passed by the Stamp Valuation Authority, has taken the matter by way of writ petitions before this Court and until final orders are passed in the writ petitions, the assessment should not be finalised by taking the full value of the consideration as determined by the lower authorities under the Stamp Act. 4. We are not able to accept the contention of the learned counsel for the petitioners. If ultimately the Writ Court grants any relief in favour of the transferee of the property, that will automatically apply to the assessees also, and the Capital Gain tax could be adjusted as per the outcome of the writ petition and for that purpose the assessment cannot be kept pending. https://hcservices.ecourts.gov.in/hcservices/ 5. With the above observations, the writ petitions are dismissed. No costs. The assessees are permitted to implead themselves in the writ petitions filed by the purchasers pending before this Court. sd/- Asst.Registrar /true copy/ Sub Asst.Registrar rg To 1. The Additional Commissioner of Income Tax Range II, 347 A, Dr.Nanjappa Road, Coimbatore 641 018. 2. The Income Tax Officer, Ward II (3) Kings Complex, 347, Dr.Nanjappa Road, Coimbatore 641 018. +2ccs To Mr.J.Balachander, Advocate, SR.44919 W.P.Nos.37859 and 37860 of 2007 ssv [co] gkg/27.8 https://hcservices.ecourts.gov.in/hcservices/