Date of agreement is relevant to determine the stamp duty value of immovable property for the purpose of section 56(2)(x) of the Act – Mumbai bench of the Tribunal

In brief

The Mumbai bench of the Income-tax Appellate Tribunal (Tribunal)¹ has concluded that when consideration for the transfer of immovable property is mutually agreed upon on a date, different from the date of registration, and a whole or part of the sale consideration has been paid through banking channels on or prior to that date, the stamp duty value as on that date is to be considered for the purpose of section 56(2)(x) of the Income-tax Act, 1961 (the Act). The Tribunal also concluded that if an issue is discussed in detail and accepted in case of a co-owner, the same issue cannot be considered differently in case of the other co-owner.