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2009 (5) TMI 566 - AT - Income TaxDeduction under s. 80-IB(10) - 80-IB(10) entitles the deduction only to those claimant assessees who maintain their books of accounts on "project completion method" basis - Builder-cum-developer of a real estate is following "work-in-progress" method or "project percentage completion method" as against the "work completion method" or "project completion method" then what will be his entitlement for the deduction prescribed under s. 80-IB(10) of IT Act - At this point it is worth to mention that in the case of long-term contract, according to accepted principle of accountancy it is often appropriate to spread the estimated earning over the period of the completion of the project - The question of adoption of "work-in progress" method and declaration of profit as "profit percentage completion method" cannot be ruled out or in any manner to be discouraged - A taxpayer having housing project and fulfilling all other requirements of s. 80-IB(10) can adopt "project percentage method" to arrive at the eligible profits for claim of prescribed deduction subject to preliminary satisfaction of the AO about the year of completion of the project - The issue is decided in favour of the assessee
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