9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2012 (8) TMI 926 - AT - Income TaxAllowability of deduction u/s 80IB (10) - Held that - A.O. has not disputed the eligibility of the appellant for claiming the deduction and further in view of the fact that there is deeming completion certificate issued by the Corporation as discussed above, it is hereby held that the appellant is entitled to deduction u/s 80IB (10).Claim allowed - Decided in favour of assessee.
Issues:
Allowability of deduction u/s 80IB (10) of the IT Act, 1961 for A.Y. 2004-05 to 2006-07. Analysis: The case involved a partnership firm developing a housing project named "Surendra Estate" and claiming deduction u/s 80IB (10) of the Act. The project was approved by the Municipal Corporation, started in F.Y. 2003-04, and completed in F.Y. 2005-06. All units were sold by F.Y. 2005-06. The deduction was allowed for A.Y. 2004-05 and 2006-07 but disallowed for 2006-07 due to non-compliance with the completion certificate issuance deadline. The CIT (A) granted relief to the assessee, holding that the completion certificate was deemed to be issued by 31.03.2008, considering the circumstances beyond the assessee's control. The department appealed, arguing against deeming the completion certificate issuance date and relying on the Explanation to Section 80IB (10). The assessee contended fulfilling all conditions and cited a similar Tribunal decision in favor of a sister concern. The Tribunal found that the Ld. CIT (A) correctly granted relief as the completion certificate issuance was beyond the assessee's control. Referring to the "M/s Girija Colonisers" case with similar facts, the Tribunal upheld the relief granted by the Ld. CIT (A) and dismissed the department's appeals. In summary, the Tribunal upheld the relief granted by the Ld. CIT (A) to the assessee regarding the deduction u/s 80IB (10) for A.Y. 2004-05 to 2006-07. The decision was based on the circumstances of the completion certificate issuance being beyond the assessee's control, similar to a previous Tribunal decision. The department's appeals were dismissed, and the assessee's cross-appeals were withdrawn, resulting in the dismissal of all appeals.
|
