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TMI Blog2020 (12) TMI 799X X X X Extracts X X X X X X X X Extracts X X X X ..... treated as business income . We further observe from the perusal of Object Clause in the Memorandum of Association and Articles of Association that it has been clearly stated that it is the business of assessee to buy, sell, construct and lease-out the properties. Ld.CIT(A) has passed a very reasoned order after following the orders of coordinate benches. We therefore do not find any infirmity in the order of CIT(A) and the same is affirmed by dismissing the ground of Revenue. This Ground of appeal raised by Revenue is dismissed. - ITA No.6419/Mum/2017 - - - Dated:- 13-7-2020 - Shri C.N. Prasad, JM And Shri M. Balaganesh, AM For the Assessee : Shri Chetan Karia For the Revenue : Shri Rahul Raman, CIT DR ORDER PER ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ch may be necessary. 3. At the outset, we find that the ld. DR stated that the fate of this appeal would depend upon the outcome of the earlier year order in assessee's own case which has already been heard by this Tribunal. He fairly submitted that the decision taken in earlier year by the Tribunal may kindly be followed this year also as the facts are identical. 3.1. Per contra, the ld. AR stated that this Tribunal had already disposed off the appeal for the earlier year for A.Yrs 2011-12 and 2012-13 and he drew our attention to paragraph 3.5 at page 6 for the first ground and paragraph 4.1 at page 7 for the second ground of the revenue from the said Tribunal Order. 4. We have heard rival submissions and perused the materi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a result, the assessee capitalized all the expenses incurred in connection with developmental activities and thus, called upon the assessee to show cause as to why the lease rentals and maintenance charges should not be brought to tax under the head house property , which was replied by assessee vide letter dt.02-02-2015. The AO also observed that the leasing out of property or letting out is not appearing in the main object in the Memorandum of Association of the assesseecompany and ultimately rejected the contentions of assessee, and assessed the same as income from house property by allowing deduction @30% u/s.24(a) of the Act. 3.2. In the appellate proceedings, Ld. CIT(A) allowed the appeal of assessee, by observing and holding ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er the object clause, it has been mentioned that it is the business of assessee to buy, sell, lease, let-out or sub-let or acquire tenancy and/or development rights in relation to any construction or development of buildings, other properties, estates or other moveable or immoveable properties and in any right title or interest therein. Ld.AR submitted that Ld.AO while deciding the issue, has reproduced only one part of the main object, leaving the second part and therefore the order passed by the Ld.AO is without application of mind. Ld.AR also referred to the Lease Deed entered into with M/s. Amazon Development Centre India Private Limited, and pointed out that it has been stated that the lessor is the owner, developer and promoter of b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imilarly, the agreements were entered into with in respect of service amenities provided in that deduction, the Hon'ble Court has held as to state herein above. Ld.AR also referred to Circular No.16/2017 issued by the Govt. of India, Ministry of Finance, Department of CBDT dt.25-04-2015 in which it has been clarified about lease rent from letting out of building/Space developed along with amenities in the industrial park/SEZ are to be treated as business income . Therefore, Ld.AR prayed that the Ld.CIT(A) has passed the order by following the earlier year s order, in which all these aspects were taken care of and passed a very reasoned and speaking order, which may kindly be upheld. 3.5. After hearing both the parties and perusing ..... X X X X Extracts X X X X X X X X Extracts X X X X
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