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TMI Blog2018 (12) TMI 1522X X X X Extracts X X X X X X X X Extracts X X X X ..... velopment and construction of housing project on a piece of land which was different from the land on which the erstwhile Promoters had completed construction of 40 row houses. Under the circumstances, no question of law arises. - INCOME TAX APPEAL NO.581 OF 2016 - - - Dated:- 3-12-2018 - AKIL KURESHI M.S.SANKLECHA, JJ. Mr. Tejveer Singh, for the Appellant. Mr. Mihir Naniwadekar with Mr. Rohan Deshpande i/b. Ms. Alisha Pinto, for the Respondent. P.C: Revenue is in appeal against the Judgment of the Income Tax Appellate Tribunal (for short Tribunal ), raising following questions for our consideration: (a) Whether on the facts and in the circumstance of the case and in law, the Tribunal erred in allowing the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... along with the acquisition of development rights, the assessee had also acquired all the earlier rights including previous sanction/ approvals which had been given earlier and therefore, the previous approval and subsequent approval cannot be treated as separate; (f) Whether on the facts and circumstances of the case, the Tribunal erred in failing to appreciate that the PMC had categorically mentioned the subsequent plan approved on 19.01.2005 as Revised Plan ? 2. The issue pertains to Respondent-Assessee's claim for deduction under Section 80IB (10) of the Income Tax Act, 1961 (for short the Act ), for the Assessment Year 2010-11. The main objection of the Revenue to such claim was that the construction was not completed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng project is approved by the local authority. As the building plan of the housing project was claimed to be first approved by the local authority on 02.08.2006, in terms of sub-clause (iii) of clause (a) to section 80IB of the Act, assessee claimed that the stipulated dated for completion of construction of the project was 31.03.2012. Since assessee had obtained the final completion certificates from the PMC for both the Phases prior to 31.03.2012, it was canvassed that the condition prescribed in clause (a) to section 80IB(10) of the Act was fulfilled. 10: We have carefully considered the rival submissions. Section 80IB(10) of the Act allow an assessee a deduction in respect of the profits derived from a housing project which has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... project is first approved by the PMC before 01.04.2004. In terms of sub-clause (i) of clause (a) to section 80IB(10) of the Act, construction of the project is to be completed before 31.03.2008 and in this case, the same has not been so done. In view of the aforesaid discussion, the pertinent dispute before us is to ascertain the date on which the housing project of the assessee is approved by the local authority so as to determine the prescribed date of completion of construction i.e. whether the construction of the project is to be completed on or before 31.03.2008 in terms of subclause (i) of clause (a) to section 80IB(10) of the Act, as canvassed by the Revenue or by 31.03.2012 on an application of subclause (iii) of clause (a) to se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee was not formally subdivided out of the total plot of land 22639 sq. mtrs. is of no consequence. 3. It can thus be seen that the Tribunal has come to factual findings, essentially holding that the Assessee had entered into an agreement with the previous Promoters and that the Assessee had acquired land along with development rights. Further, that the housing project constructed by the Assessee, consisted of building which only included flats. This project was quite different from the project which the previous developer had conceived. The Assessee had undertaken development and construction of housing project on a piece of land which was different from the land on which the erstwhile Promoters had completed construction of 40 row hou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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