held that
ITA 145/2012 Page 2 of 8
the rent capitalization method is not a proper method for determining
the deemed sale consideration ... material to show that there was understatement and thus rent
capitalization method cannot be the basis to hold and compute the
alleged understatement
following the rent capitalization method.
For the eight assessment years in question, the market value of the same property was determined by the Commissioner ... September 1980. In his valuation report, the DVO adopted the rent capitalization method stating that, "the tenant is not related to the owner
rental income yielded by those properties. He accordingly
applied the rent capitalization method as provided in rule 3 of Part B of
Schedule ... argued that at any
rate the value based on rent capitalization method as prescribed in the Schedule
III to the Wealth Tax Act was only
registered sale document, took
the view that the rent capitalization method will be appropriate to
determine the fair market value of the properties. He calculated ... Wealth tax Rules, 1957 under the rent capitalization
method and arrived at the fair market value of the rented property which
was sold to Sewa
land and building specially those used for business purpose is the method of capitalization of the return actually received or which might reasonably be received ... situations and circumstances.
18. Now, in the present case, if the method of capitalization of the rental value by multiplying a number of years
ready method of computing the market
value though this is not the only method of computing the market value,
other methods being rent which ... banjar). Normally, where the compensation is awarded
on agricultural yield or capitalization method basis, the principle of
multiplier is also applied for final determination
should have been worked out only on the basis of rent capitalization method. He referred to the tenancy of the property, which according
always a satisfactory method and considerable element of conjecture always finds place in this method. Whether capitalised value is to be given on 16 years ... date of notification, recourse must still be had to the method of capitalizing the income. over a certain period of time. of the property under
valuation estimate, capitalized the net income from rent
at 6% and allowed a redemption on capital at 5% and determined the capitalized
value ... adopt the mode of valuation embodied in Rule 1BB, namely, the
method of capitalization of income on a number of years' purchase
value
adopt the mode of valuation embodied in Rule 1BB, namely, the
method of capitalization of income on a number of years' purchase
value ... arrived at on the application of
a particular method of valuation which is also one of the recognised
and accepted methods. Even
