2013 (1) TMI 910 - AT - Income Tax

Summary

Issues involved: Appeal against the order of CIT(A) allowing deduction u/s 80IB(10) for exceeding built-up area limit.

The department appealed before ITAT Nagpur Bench against the CIT(A)'s order for the assessment year 2006-07, regarding the deduction u/s 80IB(10) for constructing commercial area exceeding the prescribed limit. The AO disallowed the deduction of &8377; 8,60,684/- stating violation of conditions. The CIT(A) considered submissions and relied on a Tribunal decision in a similar case, directing to allow the deduction on a proportionate basis after excluding units exceeding 1500 sq.ft. The department's representative supported the AO's order, while the assessee's representative supported the CIT(A)'s order. ITAT found no issue with CIT(A)'s decision, confirming it based on the Tribunal's previous ruling on similar facts. Consequently, the department's appeal was dismissed on 2nd Jan. 2013.