9911796707
TMI Blog2021 (8) TMI 150X X X X Extracts X X X X X X X X Extracts X X X X ..... y from terrace is liable to be taxed as income from house property. Assessee s appeal is allowed. - ITA no.6386/Mum./2019 - - - Dated:- 8-7-2021 - Shri S. Rifaur Rahman, Accountant Member And Shri Pavan Kumar Gadale, Judicial Member For the Assessee : Shri Mahendra Gohel For the Revenue : Shri Gurbinder Singh ORDER PER S. RIFAUR RAHMAN, A.M. The captioned appeal is against the order dated 22nd July 2019, passed by the learned Commissioner of Income Tax (Appeals) 28, Mumbai, for the assessment year 2015 16. 2. The grounds of appeal raised by the assessee are extracted below: 1. COMPUTATION OF INCOME FROM RENTING OF TERRACE UNDER THE HEAD INCOME FROM OTHER SOURCES 1.1 On the facts and in the circu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tenna Tower and received a sum of ₹ 12,00,000, for the same. The assessee declared this income under the head Income from House Property and deducted 30% of ₹ 12,00,000, aggregating to ₹ 3,60,000, for repairs and collection under section 24(a) of the Income Tax Act, 1961 (for short the Act ). During the course of assessment proceedings, vide letter No.ACIT 17(2)/Asstt.Proceeding/2017-18 dated 8th September 2017, was asked to show cause as why the use the terrace of the building situated at Maker Tower F for erection installation of Antenna Tower should not be treated as income from other sources and deduction under section 24(a) of the Act should not be denied. In response, the A.R. for the assessee, vide letter dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 16th August 2011. The A.R. accordingly prayed for allowing the claim of the assessee. 6. The learned Departmental Representative relied upon the order of the authorities below. 7. Considered the rival submissions and perused the material on record in the light of the decisions relied upon. In this case, the short issue that we need to adjudicate is, whether or not the computation of income received from renting of terrace under the head 'Income from Other Sources' as against the same offered by the assessee under the head 'Income from House Property' resulting into an addition for a sum of ₹ 3,60,000. After hearing both the parties, we find that this issue is now settled by the decisions of the Co ordinate Benc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rejected the contention of the assessee on the ground that the terrace is not let out to Mr. Sudha Vora, and she has been allowed to use the terrace only to set-up the hoarding and to display the hoarding. He also commented that she could use only a portion of the terrace and that the purpose of utilization is not for stay, etc. The Commissioner (Appeals) distinguished the decision of the Delhi Bench of this Tribunal relied upon by the assessee. Aggrieved, the assessee is in further appeal before the Tribunal. 5. Before us, the learned Counsel relied on the following case laws:- ITO v/s Cuffe Parade Sainara Premises Co. Op. Society Ltd., ITA no.7225/Mum./2005, order dated 28.4.2008; Dalamal House Commercial Complex Premise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from other sources directed the Assessing Officer to allow 20% of the gross receipts as expenses to earn such income. 7. The Tribunal, after considering rival submissions, at Pages-17 18, Para-39, held as follows:- 39. After carefully hearing the submissions of the rival parties and perusing the material available on record, we find that the facts are not in dispute. We further find that in the case of Sharda Chamber Premises v/s ITO, in ITA no.1234/Mum./2008, dated 1.9.2009, for A.Y. 2003-04, in which JM was one of the party, on the similar facts, the Tribunal after considering the decision in ITO v/s Cuffe Parade Sainara Premises Co. Op. Society Ltd., ITA no.7225/Mum./2005, dated 28th April 2008, for A.Y. 2002-03 and also t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be assessed under the head income from house property subject to deduction u/s 24 of the Act as against income from other sources assessed by the Assessing Officer. We hold and order accordingly. The grounds taken by the assessee are therefore allowed. 8. The Hon'ble Jurisdictional High Court in Income Tax Appeal no.3183 of 2010, vide judgment dated 16th August 2011, confirmed the aforesaid findings of the Tribunal vide Para3, which reads as follows:- 3. As regards question (c) is concerned, counsel for the revenue states that the ITAT has allowed the claim of the assessee by following its decisions in the case of Sharda Chamber Premises v/s ITO and ITO v/s Cuffee Parade Sainara Premises Co. Op. Society Ltd. Counsel for the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
