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2014 (3) TMI 583 - GUJARAT HIGH COURTClaim of deduction u/s 80IB(10) of the Act – Works contractor - Revenue was of the view that since neither the land nor the development permission was in the name of the builder, he cannot be stated to have developed the housing project and at best can be treated as works contractor - Held that:-The decision in Commissioner of Income-tax Versus Radhe Developers [2011 (12) TMI 248 - GUJARAT HIGH COURT] followed - the assessee had undertaken the entire task of development, construction and sale of the housing units to be located on the land belonging to the original land owners - It was also agreed between the parties that the assessee would be entitled to use the the full FSI as per the existing rules and regulations - Such terms and conditions under which the assessee undertook the development project and took over the possession of the land from the original owner, leaves little the assessee had total and doubt that the complete control over the land in question - By no stretch of imagination can it be said that the assessee acted only as a works contractor. It is true that the title in the land had not yet passed on to the assessee - It is equally true that such title would pass only upon execution of a duly registered sale deed - For the limited purpose of deduction under Section 80IB(10) of the Act, the assessee had satisfied the condition of ownership also – thus, the Tribunal had committed no error in holding that the assessees were entitled to the benefit under Section 80IB(10) of the Act even where the title of the lands had not passed on to the assessees and in some cases, the development permissions may also have been obtained in the name of the original land owners – Decided against Revenue.
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