9911796707
TMI Blog2013 (6) TMI 459X X X X Extracts X X X X X X X X Extracts X X X X ..... able deduction u/s 80-IB. The interest received by the assessee in connection with the delay payment of sales proceeds of the traded goods ie flats in this instant case, constitute part of the sales proceeds. Allowability of deduction u/s 80IB(10) in respect of such sales proceeds is not hit adversely by the cited judgment in the case of Liberty India (2009 (8) TMI 63 - SUPREME COURT). Thus order of the CIT (A) does not call for any interference. In favour of assessee. - I.T.A. No.2876/M/2012 - - - Dated:- 5-6-2013 - Shri B. R. Mittal, JM And Shri D. Karunakara Rao, AM,JJ. For the Petitioner : Shri Manoj Kumar, DR For the Respondent : Shri Vijay Mehta, AR ORDER Per D. Karunakara Rao, AM:- This appeal filed by the Rev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eduction u/s 80-IB(10) of the Act amounting to Rs. 54,72,24,920/- in respect of site at Akruti Orchid Park. Assessee is following 'percentage completion method'. On perusal of the details, AO noticed that the assessee has included interest received towards delayed payment of Rs. 13,40,853/- under the head 'other income' while claiming the deduction u/s 80IB(10) of the Act. Not satisfied with the explanation of the assessee, AO concluded that the assessee itself categorized the income from other sources. The income is to be assessed as per its sources and therefore, the interest is not income from business but the nature of the same is income from the other sources and, therefore, the deduction u/s 80IB is not allowed on the interest income. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... levant in this regard. 6. On the other hand, Ld DR relied on the order of the AO in general and the contents of para 3.1 of the assessment order in particular. 7. We have heard both the parties and perused the orders of the Revenue Authorities as well as the decisions cited before us. There is no dispute about the fact that the interest in question relates to the amounts payable by the flat buyers in connection with the purchase of the flats from the assessee. We have also perused the order of the CIT (A) and find that the relief was granted to the assessee relying on the judgment of the jurisdictional High Court in the case of CIT Vs. Bhansali Engineering Polymers Ltd (supra). Further, we have also examined the cited judgment of Bombay ..... X X X X Extracts X X X X X X X X Extracts X X X X
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