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2013 (10) TMI 1426 - ITAT PUNEDenial of deduction claimed u/s. 80IB(10) in respect of project Tulips - Held that:- Legal position it is settled that clause (d) will not apply if project is approved prior to 01-04-2005. In the present case, it is an admitted position that Tulip project was approved and commenced on 19- 03-2003. In view of the above, the objection of Assessing Officer in respect of construction of commercial user could not be sustained. It is also pertinent to mention that Assessing Officer himself has accepted in assessment order that commercial area of 8801 sq. ft. is within permissible limits of PCMC for housing project constructed in the residential zone. Therefore, commercial user constructed Tulip project was within the norms of PCMC for housing project. Accordingly, issue raised in ground No.1 & 2 has rightly been decided in favour of assessee because clause (d) inserted in the provisions of section 80IB(10) restricting commercial area has prospective effect from 01-04- 2005. We uphold the same. Violation of clause (c) on the basis of report given by Ward Inspector - Held that:- Material as available on record reveals that three flats were separately sold to Mr. Oomer K. George through separate deeds. Three electricity connections were provided for respective flats and even municipal authorities recognizes three flats by assessing them separately for the purpose of municipal taxes. There is apparently nothing on record that assessee has played a role in selling the flats in combined manner even purchaser Mr. Oomer K. George during appeal also confirmed the fact that three flats were joined by him and assessee has not played any role in the same. In view of the above objection on violation of clause (c) and in view of the merger of three flats by one Mr. Oomer K. George was not accepted by CIT(A) , accordingly disallowance of claim of deduction u/s. 80IB(10) on this ground was rejected and claim of assessee was allowed. This reason of factual legal finding needs no interference from our side. We upheld the same.
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