AO Has No Jurisdiction To Insist That Assessee Should Adopt A Particular Method To Determine Value Of Shares: ITAT Mumbai

In the case of DCIT vs. Ozoneland Agro Pvt. Ltd, ITAT Mumbai has held that:

Section 56 allows the assessees to adopt one of the methods of their choice. But,the AO held that the assessee should have adopted only one method for determining the value of the shares.In our opinion,it was beyond the jurisdiction of the AO to insist upon a particular system, especially the Act allows to choose one of the two methods.Until and unless the legislature amends the provision of the Act and prescribes only one method for valuation of the shares,the assessees are free to adopt any one of the methods.

To Download the Judgement, Please Click Here