9911796707
TMI Blog2018 (12) TMI 407X X X X Extracts X X X X X X X X Extracts X X X X ..... ut from year to year. We have already noted that the properties or any part thereof, as listed at serial number 4 & 5, were never let out by the assessee in any of the preceding year or during impugned AY. Therefore, the sub-clauses (1)(b) or (1)(c) becomes inapplicable to the same since both these applies in situation where property or any part thereof is let out, which is not the case here. The expression let as used by both these sub-clauses do not include mere intention to let out but the actual let out of the property keeping in view the doctrine of literal interpretation. If the annual value of the same are taken as nil in terms of sub-clause (1)(c) as contended by AR, then the provisions of clause (4) shall become otiose and shall ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed income of ₹ 49.63 Lacs filed by the assessee on 30/09/2009. As evident from grounds of appeal, the addition of ₹ 21.18 Lacs as made under the head Income from House Property is the sole subject matter of this appeal. The assessee is a Structural Engineer by profession and director of family owned company namely M/s Mahimtura Consultants Pvt. Ltd. which was stated to be engaged in carrying on structural design work, Infrastructure works and Project management. 2. The Registry has noted a delay of 21 days in filing the appeal, the condonation of which has been sought by the assessee on the strength of an affidavit dated 03/11/2017. The delay has been attributed to the fact that the assessee's consultant was busy with Audit Wo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mply stated to be under joint ownership, without adducing any further details. Resultantly, Ld. AO estimated Annual Value of all the properties @8.5% of aggregate cost of ₹ 356 Lacs which came to ₹ 30.26 Lacs. After providing for statutory deduction of 30%, net addition was worked out to be ₹ 21.18 Lacs which was added to the income of the assessee. The same, upon confirmation by first appellate authority, is under appeal before us. 4. The Ld. Auhtorized Representative for Assessee [AR], Shri Bhupendra Shah, taking us through documents placed in the paper-book submitted that some of the properties were not in habitable conditions whereas some of the properties were being used by the assessee for the purpose of business / ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s have not discussed this aspect in the respective orders. Therefore, the matter of notional rental value against these building stands restored back to the file of Ld. AO to re-adjudicate the same in the light of these evidences being submitted by Ld. AR before us. 5.2 The property listed at serial number-6 is stated to be farmhouse on agricultural land and therefore, it has been contended that no income could be estimated against the same. The properties listed at serial number 7 & 8 are stated to be commercial establishments which are used for the purpose of assessee's business. However, we find that Ld. AO has not made any discussion about the same in his order and has not rendered any findings against the same. Therefore, the matter o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n respect thereof is less than the sum referred to in clause (a), the amount so received or receivable : Provided that the taxes levied by any local authority in respect of the property shall be deducted (irrespective of the previous year in which the liability to pay such taxes was incurred by the owner according to the method of accounting regularly employed by him) in determining the annual value of the property of that previous year in which such taxes are actually paid by him. Explanation.-For the purposes of clause (b) or clause (c) of this sub-section, the amount of actual rent received or receivable by the owner shall not include, subject to such rules as may be made in this behalf, the amount of rent which the owner cannot re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t exceeds the ALV. The subclause (c) provides for a situation where-in the property or any part of the property was let out and was vacant during the whole or any part of the previous year and owing to such vacancy the actual rent received or receivable by the owner was less than ALV, then the amount so received or receivable is deemed to be annual value of the property. Further, in terms of sub-clause (b) of clause (4), the annual value of the houses other than one house as elected by the assessee are to be determined as per clause (1) as if such house or houses had been let out. 5.4 Applying these statutory provisions to the factual matrix of the case, we find that the assessee has already elected one house situated at Saraswati Sadan as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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