9911796707
TMI Blog2012 (7) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... 71 & 72/Ind/2012 - - - Dated:- 29-5-2012 - SHRI JOGINDER SINGH, SHRI R.C.SHARMA, JJ. Appellant by : Shri Anil Khabya, CA Respondent by : Shri Arun Dewan, Sr. DR O R D E R PER R. C. SHARMA, A.M. These are the appeals filed by the assessee against the order of CIT(A) for assessment year 2007-08 and 2008-09. 2. Common grievance of the assessee in both the years reads as under :- That the ld. CIT(A) erred in holding that the eligible housing project was approved on 29.3.2005 in spite of report of Assessing Officer on record to the effect that building permission was issued by local authority only after obtained Zonal NOC dated 1.4.2005. 3. Rival contentions have been heard and records perused. The brief facts of the case are that the assessee is partnership firm engaged in the business of civil construction. Assessee claimed deduction u/s 80IB(10). During the assessment proceedings, to substantiate the claim of deduction u/s 80IB(10), the Assessing Officer required the assessee to furnish the detail of total plot areas of this project with type of houses i.e. duplex of flat, built-up/sanctioned area of construction, date of commencement of co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 80IB(10), explanation 1, the housing project shall be deemed to have been approved on the date on which the building plan of the housing project is first approved by the Local Authority. The first approval of the building plan is dated 29/03/2005 and therefore as per the provision of the Section 80IB(l0)(a)(ii), the housing project was to be completed by 31/03/2009 i.e. four years from the end of financial year in which project is approved by the Local Authority. It may be also mentioned that as per Explanation II of sec. 80IB(l0), the date of completion of construction of the housing project shall be taken to be the date on which the completion certificate in respect of such certificate is issued by the Local Authority. It is noticed that the Assessing Officer has disallowed the claim of deduction U/S 80IB(l0) on account of the reason that the assessee has not produced the completion certificate of the housing project up to the time the completion of the asst. order i.e. 30/11/2009. During the appellate proceedings in the first submission of the appellant stated that he was required to obtained completion certificate up to 31/03/2011. The appellant subsequently filed completion ce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rect on the land purchased by the applicant at I to 139, Khajuri Kalan. In this certificate it is also mentioned that an amount of Rs.25,000/- has been deposited vide receipt 2899/60 dated 29/03/2005. The certificate is duly signed by Assistant Engineer, Municipal Corporation Bhopal. The appellant has stated that on the basis of document collected on RTI application the permission certificate was issued on 05/04/2005. However, there appear to be no merit in the submission of the appellant as much as the first permission for remand proceedings the Assessing Officer has conducted the enquiries from office of the Municipal Corporation, Bhopal, and the Municipal Corporation, Bhopal, vide letter dated 30/08/2011 addressed to ITO-1(2), Bhopal, reiterated that M/s. Draupadi Builders and Developers was granted a permission vide no. 2078 dated 29.03.2005. These facts indicates that even in the documents collected by the appellant under RTI Act, there is no document to suggest that the permission bearing no. 2078 dated 29.03.2005 was not issued or that was not issued or that the certificate is incorrect. There is nothing in the report of the Nagar Nigam Bhopal which may indicate the buildi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the above submission, he contended that since the building permission was issued after 1st April, 2005, and the assessee has completed the project well within the stipulated period of four years ending on 30th March, 2010, therefore, the claim of deduction u/s 80IB(10) cannot be declined. 9. On the other hand, the ld. Senior DR relied on the findings recorded by the lower authorities to the effect that building permission was dated 29.3.2005, therefore, the assessee was required to obtain the completion certificate by 31st March, 2009, and since completion certificate was issue on 30th March, 2010, the assessee has not completed the project within the stipulated time, so as to make him entitle for claim of deduction u/s 80IB(10) of the Act. 10. We have considered the rival submissions and have gone through the orders of the authorities below and found from record that the assessee was engaged in the business of construction of housing project. The relevant project for which assessee has claimed deduction u/s 80IB(10) was approved by the Municipal Authorities on 29.3.2005. Such permission is generally issued subject to fulfillment of certain conditions. On the plea that these c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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