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TMI Blog2022 (12) TMI 697X X X X Extracts X X X X X X X X Extracts X X X X ..... eemed rent - Profits and Gains from business or profession OR Income from House Property - AO observed that certain units were unsold with the assessee at the end of the year - AO determined the Annual Letting Value (ALV) of the property and brought the amount to tax, which action was not approved in the first appeal - HELD THAT:- Prior to the amendment, the Tribunal considered this aspect in several cases including Cosmospolis Construction [ 2018 (9) TMI 1621 - ITAT PUNE] and held that no income from house property can result in respect of unsold flats held by a builder as stock in trade at the year-end. While disposing of the above referred case, the Tribunal observed that income from unsold flats could be considered only under th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Cognizance for Extension of Limitation, In re 432 ITR 206 (SC) dated 08-03-2021 and 421 ITR 314. 3. The first four grounds are against allowing of deduction of Rs.5,06,85,894/- u/s.80IB(10) of the Income-tax Act, 1961 (hereinafter also called the Act ) on pro-rata basis in respect of the housing project Costa Blanca , Baner, Pune. 4. Briefly stated, the facts of the case are that the assessee firm is a Promoter, Builder and Developer, which furnished its return declaring total income at Rs.37,499/- after claiming deduction u/s.80IB(10) amounting to Rs.5.06 crore. The Assessing Officer (AO) disallowed the deduction on the ground that the assessee had not obtained completion certificate and the project was required to be completed by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rder is countenanced on this score. 6. The only other issue in this appeal is against the deletion of addition of Rs.23,04,982/- towards deemed rent. 7. The facts apropos this ground are that the AO observed that certain units were unsold with the assessee at the end of the year. He determined the Annual Letting Value (ALV) of the property and brought the amount to tax, which action was not approved in the first appeal. 8. Having heard the rival submissions and perused the relevant material on record, it is seen that the assessment year under consideration is 2014-15. The Finance Act, 2017 introduced subsection (5) to section 23 providing that where a property held as stock in trade is not let out during the year, its annual value, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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