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TMI Blog2021 (7) TMI 904X X X X Extracts X X X X X X X X Extracts X X X X ..... /s. 80IB (10) - HELD THAT:- There is no dispute that the assessee has been offering income on project completion method. We find that the CIT(A) while allowing the appeal has given a liberty to the AO to determine the correct profit under the percentage completion method and further given the liberty to withdraw the relief if subsequently the AO finds that the assessee has not complied with any of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the facts of the case are that the assessee company is engaged in the business of Real Estate Development building of housing project etc. During the course of assessment proceedings the AO noticed that the assessee has claimed the following year wise deductions u/s. 80IB for the project at Sector- 89, Faridabad in its Income Tax Return :- S.No. Super are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ,754/- 3,39,34,072/- 4. The AO noticed that till now the project is completed only upto the extent of 30.78%. The AO was of the opinion that four years have since lapsed and the assessee needs to complete the project within 5 years the AO accordingly formed a belief that the claim of the deduction of the assessee expires and hence not eligible for the claim o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the project is spread over the earlier years and offered every year a percentage of that profit based on percentage of project completed that years. Obviously except in the lost year, the assessee will be offering income even though the project (and in the individual flats) would not have been completed. As clarified in the Circular such profits offered are also entitled relief u/s. 80lB. The A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(A) while allowing the appeal has given a liberty to the AO to determine the correct profit under the percentage completion method and further given the liberty to withdraw the relief if subsequently the AO finds that the assessee has not complied with any of the requirements of section 80IB (10) of the Act. We do not find any error or infirmity in such finding of the CIT(A) which calls for no ..... X X X X Extracts X X X X X X X X Extracts X X X X
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