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TMI Blog2013 (7) TMI 541X X X X Extracts X X X X X X X X Extracts X X X X ..... ssees losses - Proper resolution was also passed by the cooperative society before undertaking such an activity – the purpose of construction of the commercial complex and the sale of shops was done with the sole intention of engaging itself into a commercial activity and the construction and sale of shops was only with a view to earn profit to increase the revenue – further assessee owned the land also - the income is in the nature of business income – appeal decided against the revenue. - Tax Appeal No. 306 of 2013 - - - Dated:- 8-4-2013 - AKIL KURESHI AND MS. SONIA GOKANI, JJ. For the Appellant : Mrs. Mauna M. Bhatt. For the Respondent : None. ORDER:- PER: Akil Kureshi Revenue is in appeal against the judgment of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shops to individual purchasers. 5. The Assessing Officer believed that any income generated from sale of shops should be treated as income from other sources and not assessees business income. The assessee contended that the activity of construction was started to reduce accumulated losses. The assessee had developed shopping complex at Vijaynagar in the previous year relevant relevant to assessment year 2006-07 and at Bhiloda in the previous year relevant to assessment year 2007-08. The assessee had, therefore, claimed profit on sale of shops as business income. 6. When the issue ultimately reached the Tribunal, the Tribunal ruled in favour of the assessee making following observations:- The factual matrix of the case is that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ops with a view to earn profits has not been doubted by the Revenue. The assessee had constructed commercial complex and constructed shops. While framing the original assessment under Section 143(3) of 28-09-2007, the income from sale of shops was considered as business income. These facts have not been controverted by the Revenue by bringing any contrary material on record. The dispute therefore in the present case is whether the income earned from activity of sale of shops commenced by the assessee during the year is to be considered as business income or income from other sources. 7. Having heard learned counsel for the Revenue and having perused the documents on record, we notice that the respondent assessee being a cooperative s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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