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Issues:
1. Dispute over the annual letting value of self-occupied property for the assessment year 1980-81. 2. Claim for exemption under section 10(13A) of the Income Tax Act regarding house rent allowance. Analysis: 1. The first issue in this appeal pertains to the disagreement regarding the annual letting value of a self-occupied property for the assessment year 1980-81. The Income Tax Officer (ITO) rejected the assessee's claim of an annual letting value at Rs. 450 per month, stating that it was too low considering the property's area, location, and construction cost. The ITO adopted an annual letting value of Rs. 9600, resulting in a loss determination of Rs. 5926. The Appellate Authority Commissioner (AAC) upheld the ITO's decision. However, the appellate tribunal found that the assessee's valuation was based on municipal valuation, which is similar to the basis used for income tax assessment. The tribunal concluded that there was no material to dispute the municipal valuation provided by the assessee, and hence directed the adoption of the annual letting value as returned by the assessee for computing property income/loss. 2. The second issue raised in the appeal concerns the assessee's claim for exemption under section 10(13A) of the Income Tax Act related to house rent allowance. The department conceded that a decision by the Punjab & Haryana High Court supported the assessee's claim. As no contradictory decisions were presented, the tribunal upheld the relief claimed by the assessee and directed the exemption under section 10(13A) for the allowance received. Consequently, the appeal was allowed in favor of the assessee on this issue. In conclusion, the appellate tribunal ruled in favor of the assessee on both issues, directing the adoption of the annual letting value as returned by the assessee for property income/loss calculation and granting exemption under section 10(13A) for the house rent allowance.
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