In a precedent court case of CIT vs. Arun Mehra 157 ITR 308, the ‘market value’ was defined as “the fair market value is linked with the “price” the property would ordinarily fetch in the open market; i.e., the price a willing Purchaser would pay to the willing seller for a property, having due regard to its existing condition, existing advantages and its potential possibilities when laid out in its most advantageous manner.” This definition is in relation to the Income Tax Act, 1961.