New Delhi, Nov. 8 -- When an individual purchases land below its stamp duty value, this can trigger an income tax notice. Still, the difference is not necessarily taxable if the buyer is able to clearly establish that the government valuation exceeds the property's actual market value.

This aspect has been touched upon in quite detail in a recent Income Tax Appellate Tribunal (ITAT) case in Surat. A case that underlines and explains how a Departmental Valuation Officer (DVO) report can help buyers challenge such demands and have them resolved legally.

In a decision on 28 October 2026, ITAT Surat granted relief to a farmer named Desai, who had faced a taxation dispute over agricultural land purchased in Ratnagiri, Maharashtra.

As per th...