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TMI Blog2022 (11) TMI 571X X X X Extracts X X X X X X X X Extracts X X X X ..... shall be adopted for the entire project that would be decided by the assessee alone. The obligation clause no. (22) of the MoU reveals that the work carried out by the developer / contractor was as per the requirements of the assessee. Assessee could have approached various government officials for necessary permission and therefore approach the developer/contractor to carry out the development of residential layout in all respects over the project land. We do not hesitate to agree with the view taken by the revenue authorities that, the agreement between assessee and M/s.Shree Sai Associates is in the nature of works contract. Before us, assessee alternatively argued that, the amount made towards the cost of the land and expenditure ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct and levying interest u/s. 201(1A) of the act for the years under consideration, the details of which are as under: A.Y. 201(1) 201(1A) 2011-12 Nil 2012-13 Nil 2013-14 2014-15 3. Brief facts of the case are as under: 3.1 Assessee is a cooperative housing society with main object to provide residential sites to its members. Assessee entered into an agreement with M/s. Shree Sai Associates for procurement and development of sites and transfer the same to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing the disallowance u/s. 201(1) of the Act and levy of interest u/s. 201(1A) of the Act for A.Ys. 2013-14 and 2014-15. 4. Before us, the Ld.AR primarily submitted that, the work carried out by M/s. Shree Sai Associates are not in the nature of works contract and therefore assessee was not liable to deduct TDS. He submitted that the assessee proposed to purchase the developed land in a suitable location by transferring the documents from such land owners and the developed land would be transferred to its members, against which an agreed price was payable by the assessee. For this activity, assessee authorised M/s. Shree Sai Associates to develop the land and transfer the same to the society. He submitted that various clauses in the MoU c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... procured the land for the purposes of construction of residential houses at the request of the assessee on behalf of all its members. Upon purchases of land, confirmation of the site by the developer / contractor. It is also noted in clause (7) of the MoU that all necessary permission for registration of the project land was in the name of assessee and that the developer / contractor would be developing the layout as agreed with assessee. Clause (16) of the agreement mentions that the developer / contractor would be liable to pay sales tax on the works contract, VAT / service tax or any other applicable taxes leviable on or during the course of the development of the project land. The clause (17) further refers to the name that shall be ad ..... X X X X Extracts X X X X X X X X Extracts X X X X
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