9911796707
TMI Blog2024 (11) TMI 234X X X X Extracts X X X X X X X X Extracts X X X X ..... ] for the A.Y. 2015-16 this bench has dismissed the appeal of the revenue by relying on the decision of Oberoi Hotels Pvt., Ltd [ 2016 (1) TMI 169 - ITAT KOLKATA] The case relied on the Ld. DR could not be applied to the instant case as the co-owners themselves are the Directors of the lessee company and hence related. In the instant case, the lease has been done to the third non-related parties based on commercial consideration. The portion let out to M/s. A.S. Raja Trust which is a non-profit organisation is meagre and incidental to the hospital activities of M/s. Visakha Hospitals Diagnostics Limited. It was explained that M/s. A.S. Raja Trust operates a blood bank as a non-profit organisation which is incidental to the hospital run by M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... section 143(2) and 142(1) of the Act were issued and served on the assessee through ITBA module. The Assessing Officer observed that assessee has entered into a lease agreement with three parties to rent out portions as follows: - S. No. Name of Tenant Area Let Out (In Sq. Ft) Monthly Rent (In Rs. Let Out Unit rate (Rs/Sqft/Month) 1. M/s. Visakha Hospital Diagnostics Limited 80000 860000 10.75 2. M/s. IndusInd Bank Ltd., 2,000 120000 60.00 3. M/s. A.S. Raja Trust 2,000 31250 15.62 3. The Assessing Officer noticed difference in rental income being received from three parties and thereafter issued letter dated 05.04.2021 to the assessee to explain why the deemed rent receivable by the property under section 23(1)((a) could not be estimated fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rned Commissioner of Income Tax (Appeals) is contrary to the facts and also the law applicable to the facts of the case. 2. The learned Commissioner of Income Tax (Appeals) is not justified in sustaining the addition of Rs. 3,49,43,660 made by the assessing officer under the head 'Income from House Property' towards: a) re-computation of annual value us 23(1)(a) at Rs. 6,04,80,000 as against Rs. 1,23,46,200 computed by the appellant. b) disallowance of interest of Rs. 12,50,000 claimed u/s 24 of the Act. 3. Any other ground that may be urged at the time of appeal hearing. 6. Ground Nos. 1 3 are general in nature and needs no adjudication. 7. Ground No. 2 is with respect to addition of Rs. 3,49,43,660/- as income from house property. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mation of rent for the purpose of let-out has been held in favour of the revenue. Ld. DR placed heavy reliance on the above case and pleaded that order of the Assessing Officer be sustained. 9. We have heard both the sides and perused the material available on record and the citations quoted by the rival parties. It is the case of the Assessing Officer that the assessee is receiving lower rent from M/s. Visakha Hospitals Diagnostics Limited when compared to rental income received from other two parties namely M/s. IndusInd Bank Ltd., and M/s. A.S. Raja Trust. However, assessee contends that it is receiving the rental income as per the terms and conditions as stipulated in the rental agreement with the respective parties. The main contention ..... X X X X Extracts X X X X X X X X Extracts X X X X
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