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TMI Blog2014 (9) TMI 1012X X X X Extracts X X X X X X X X Extracts X X X X ..... s approved by the local authorities. We, therefore, set-aside the order of the CIT(A) on this issue and allow the ground taken by the assessee in both the assessment years. - Decided in favour of assessee. - IT Appeal Nos. 533 & 534 (Indore) of 2012 - - - Dated:- 19-9-2014 - P.K. Bansal, ACCOUNTANT MEMBER AND MUKUL KR. SHRAWAT, JUDICIAL MEMBER H.P. Verma and N.D. Patwa, Advocates for the Appellant. R.A. Verma, Sr. DR for the Respondent. ORDER P.K. Bansal, Accountant Member - Both these appeals filed by the assessee have the common issue, therefore, they are disposed of by this common order. 2. In the assessment year 2005-06, since the assessee did not press ground nos. 1 2, therefore, only grounds remain for adjudication surviving are ground nos. 3 4. 3. Ground no. 3 in assessment year 2005-06 and ground nos. 1 to 4 in assessment year 2007-08 relate to the same issue i.e. deduction claimed by the assessee u/s 80IB(10), while ground no. 4 in assessment year 2005-06, ground no. 4 in assessment year 2005-06, ground no. 5 in assessment year 2007-08 relate to imposition of the interest u/s 234B and 234C of the Income-tax Act, 1961. 4. The brief facts r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct was 31.3.2008. Our attention was drawn in this regard towards the certificate issued by Sanjeev Agrawal, Architect, which states that the project has been completed in its all respects up to 25.2.2008. He contended that the project has to be completed by 31.3.2008. The Assessing Officer has recorded the statement of the Architect, who has issued the certificate on 25.3.2010. He also relied on the statement of Shri S.K. Mudgal recorded u/s 131 by the Assessing Officer. Our attention was drawn towards question no.2 in which Shri Mudgal has stated that the completion certificate was issued after having site inspection by Shri D.P. Chourasia on 26.3.2010. Reliance was pleaded by the ld. Authorized Representative on the decision of CIT v. CHD Developers Ltd. [2014] 362 ITR 177/225 Taxman 154/43 taxmann.com 249 (Delhi). It was also pointed out by him that during the assessment year 2006-07, the relief u/s 80IB(10) was duly allowed by the Assessing Officer. Since the relief has been allowed during the assessment year 2006-07 on the principles of rule of consistency, the relief be allowed to the assessee during the impugned assessment year. 5. The ld. Senior DR, on the other hand, re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arlier sub-Section (10) was amended by the Finance Act, 2000 (10 of 2001), Section 39(e)(i) and (ii) ( w.e.f. 1.4.2001), by Finance Act, 2003 ( 32 of 2003), Section (c) (i) and (ii) (w.e.f. 1.4.2002). Sub-Section (10), before substitution by Finance (No.2) Act, 2004, stood as under :- (10) The amount of profits in case of an undertaking developing and building housing projects approved before the 31st day of Mach, 2005, by a local authority, shall be hundred per cent, of the profits derived in any previous year relevant to any assessment year from such housing project if,- (a) such undertaking has commenced or commences development and construction of the housing project on or after the 1st day of October, 1998; (b) the project is on the size of a plot of land which has minimum area of one acre; and (c) the residential unit has a minimum built-up area of one thousand square feet where such residential unit is situated within the cities of Delhi or Mumbai or within twenty-five kilometers from the municipal ITA 298/2013 page 2 of 21 limits of these cities and one thousand and five hundred square feet at any other place.' 7. Soon after Finance (No.2) Act w.e.f. 1.4 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... being in force and such scheme is notified by the Board in this behalf; (c) the residential unit has a maximum built-up area of one thousand square feet where such residential unit is situated within the city of Delhi or Mumbai or within twenty-five kilometres from the municipal limits of these cities and one thousand and five hundred square feet at any other place; [and] (d) the built-up area of the shops and other commercial establishments included in the housing project does not exceed five per cent of the aggregate built-up area of the housing project or two thousand square feet, whichever is less.] The following clauses (e) and (f) shall be inserted after clause (d) of sub-section (10) of section 80-IB by the Finance (No.2) Act, 2009, w.e.f. 1-4-2010 : (e) not more than one residential unit in the housing project is allotted to any person not being an individual; and (f) in a case where a residential unit in the housing project is allotted to a person being an individual, no other residential unit in such housing project is allotted to any of the following persons, namely:- (i) the individual or the spouse or the minor children of such individual, (ii) th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re 31st March, 2008, or within 4 years or within 5 years has been brought into Section 80IB. Only by the Finance Act, 2004, not prior to that. This is settled position of law that the Law existing at the particular point of time will be applicable unless and until it is specifically made retrospective by the legislator. In our opinion, the assessee is expected to complete the project as per the approved plan at a particular point of time and the assessee is not expected to do or fulfill the conditions which are not in existence at the relevant point of time or made compulsory after making such amendment in the Act from the future date. When the project approved, the competent authority has given specified date that project should have completed by that date. The Section 80IB(10), which was in existence there nowhere required the assessee to complete the project within a particular period. Therefore, in our view, the restriction, which has been imposed subsequently by amending the provisions of the law will not apply to the assessee that the project should have been completed within four years from the end of the financial year in which housing is approved by the local authorities. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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