Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2011 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (3) TMI 1042 - AT - Income TaxWhether deduction u/s 80-IB(10) is allowed as developer - agreement clearly indicates that assessee has been made de facto owner of the entire land and project till it is handed over to the members after receipt of necessary sale amount and recommending their names to the society for issuing membership letters - It is also the case of the revenue that the assessee was a mere contractor developing and building housing project and, therefore, it could not be a developer - it is the undertaking that develops or builds the housing project that is entitled to deduction irrespective of the fact whether that it is the owner or not or whether it is the contractor thereof - The developer is not working on remuneration for the landowners, but developer is working for himself in order to exploit the potential of its business in his own interest and, therefore, opted for all business risks associated with the business of development of real estate including developing and building of housing projects Whether parking space is included then total area would exceed specified limit - Parking space is only an appendix to the flat i.e. residential unit and it cannot be its integral part. One may have a car and may purchase a car parking space along with flat - In any case it is not show that purchase of parking space as well as flat was a combined selling unit and no option was available to any purchaser either to purchase flat and not to purchase the parking space - Decided in favor of the assessee
|