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TMI Blog2014 (6) TMI 326X X X X Extracts X X X X X X X X Extracts X X X X ..... e fresh claim does not deserve any favourable consideration – thus, the order of the CIT(A) is upheld – Decided against Assessee. - ITA No. 4294/Mum/2010 - - - Dated:- 27-5-2014 - Shri D. Manmohan,JJ. For the Appellant : Shri Bhupendra Shah For the Respondent: by: Shri B.P.K. Panda ORDER Per D. Manmohan, V.P. This appeal by the assessee company is directed against the order passed by the CIT(A)-20, Mumbai and it pertains to A.Y. 2005-6. 2. Facts necessary for disposal of the only issue in dispute are stated in brief. The assessee is admittedly engaged in the business of construction. Though the Memorandum of Association of M/s. Kabha Builders Pvt. Ltd. listed out various activities as its main objectives suc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... main intention was for letting out the property the same must be considered as rental income. In the instant case the assessee mainly derived income from property and has not carried on any other business. The rental income was treated as income from house property. Consequently the AO restricted the claim of deduction to 30% of the ALV since no other expenditure is allowable against income from house property. 5. Aggrieved, assessee contended before the learned CIT(A) that letting out of premises is one of the prime objects and, therefore, income therefrom is assessable under the head income from business . The learned CIT(A) considered the issue in the backdrop of several Supreme Court judgements and finally concluded that the impugn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the assessee company incurred certain administrative expenditure, which is otherwise allowable as deduction even if it is treated as income from house property. Schedule 9 speaks about administrative expenses such as electricity charges, legal and professional fees, ROC fees, rent and compensation, etc. The main contention is that the income has to be treated as income from business and even otherwise the expenditure has to be allowed as deduction. Finally he submitted that in the earlier and subsequent years the AO has accepted the rental income as income from business, though under section 143(1), and hence rule of consistency has to be applied. 7. On the other hand, the learned D.R. submitted that it is a case of leasing of property ..... X X X X Extracts X X X X X X X X Extracts X X X X
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