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TMI Blog2017 (8) TMI 742X X X X Extracts X X X X X X X X Extracts X X X X ..... therefore, no notional rental value of the other unit was liable to be assessed. The assessee has sold both the units by virtue of agreement dated 24.06.2010 in which the Flat No. 1401/02 have been shown as single unit. The photograph of the entrance of the flat has already been placed on record which lies at Page No. 156 to 157 of the paper book. The photograph of the kitchen has also placed on record in which the single unit was being seen and the photographs are also lies at Page No. 159 of the paper book. The assessee also adduced the telephone bill in respect of Flat No. 1401 and 1402 which lies at Page No. 160 to 162. These telephone bills speaks that the telephone bills were being issued with the name of the assessee at the Flat No.1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... AMARJIT SINGH, JM For The Assessee : Shri Ronak Doshi Ms. Sonakshi Jhunjhunwala For The Revenue : Shri Rajesh Kumar Yadav ORDER PER AMARJIT SINGH, JM: The assessee has filed the present appeal against the order dated 07.12.2015 passed by the Commissioner of Income Tax (Appeals)-36, Mumbai [hereinafter referred to as the CIT(A) ] relevant to the A.Y. 2011-12. 2. The assessee has raised the following grounds:- 1.On the facts and circumstances of the case and in law, the Ld. CIT(A) erred in upholding the action of the AO in disallowing a total of the expenses of ₹ 1,94,640/- for each of the alleged two residential units on the ground that the same are incurred towards purposes not allowable to be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tal income to the tune of ₹ 3,24,151/- being the value of the Flat No. of the amount of ₹ 54,02,510/- was assessed and added to the income of the assessee. The expenditure to the tune of ₹ 3,89,280/- was also disallowed and the income of the assessee was assessed to the tune of ₹ 10,72,930/-. Feeling aggrieved the assessee filed an appeal before the CIT(A) who partly allowed the appeal of the assessee but decline the claim of the assessee on the issues mentioned above therefore the assessee has filed the present appeal before us. ISSUE NO.1 :- 4. Under this issue the assessee has claimed that the Flat No. 1401 and 1402 are single residential unit used by the assessee therefore, no notional rent was requi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dil (352 ITR 418) (AP HC) 10. SLP dismissed (228 Taxman 62) (SC)\ 11. CIT Vs. Smt. V.R. Karpagam (373 ITR 127) (Mad HC) 6. On the other hand, the Ld. Representative of the department has refuted that the said contention. 7. We have heard the argument advanced by the Ld. Representative of the parties and perused the record. On appraisal of the finding of the AO, it came into notice that the Assessing Officer considered the agreement of sale of the Flat No. 1401 and 1402 in which two separate units have been mentioned. Undoubtedly, the said finding was confirmed by the CIT(A). It is only to be seen that the assessee purchased two units and thereafter the assessee was using the said units as single one after the necessa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nit. In the said circumstances, the notional income of the second flat 1402 is not liable to be assessed separately. This question has also been answered by the ITAT Bench Mumbai in the case title as:- 1. Mehar Banaji Krul Vs. Add. CIT (ITA No. 4048/Mum/2010) 2. Suresh C. Sadarangani Vs. ACIT(33 SOT 428) (TMum) 3. Smt. Damyanti C. Vora Vs. ITO (ITA No. 5590/Mum/2010 (TMum.) 8. No doubt in the given facts and circumstances of the case, we hold that the annual rental value of the Flat No. 1402 be treated as nil being no notional rental income is required to be assessed in respect of a single unit. In view of the said circumstances, we are of the view that the finding of the CIT(A) on this issue is wrong against the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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