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2010 (11) TMI 798 - HC - Income TaxIncome from house property - deemed owner - Whether the ITAT has not erred in directing AO not to charge the annual letting value of the West Tower under the head 'income from house property' since the principle of res judicata does not apply in income-tax proceedings? - assessee took ground predicated on the provisions of section 27(iii) r.w.s. 269 UA (f) (ii) and submitted that under those provisions, it would be a sub-licensee as deemed owner would be charged to tax in his hands – Held that:- Tribunal examined the licence agreement entered into between the NDMC and the assessee on the basis of which it has come to the conclusion that it is the NDMC, which is the "owner of the premises and remains to be the owner of the premises in question". The Tribunal has further accepted the submissions of the assessee that in view of the provisions of section 27 (iii) of the Act, it is the sub-licensee who would be "deemed owner" of those premises which the sub-licensees whereof transferred to the present occupiers and those occupiers are paying rent/licence fee to the sub-licensees. On that basis, the Tribunal has set aside the addition made by the AO and deleted this component of income holding that the same would not be chargeable to tax, Tribunal in deciding the aforesaid issue is perfectly justified. There is no reason to interfere with the same - in favour of the assessee.
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