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2012 (8) TMI 509 - AT - Income TaxNon eligibility for deduction u/s 80-IB (10) - CIT (A) allowed the claim - Held that:- As the investment made by the assessee for the project and the source for such investment which have been disputed or rebutted by the Revenue & not also disputed that assessee had purchased the land - assessee had entered into individual agreements with prospective buyers for sale of undivided share in such land and for construction of flats therein. But, this would not mean that assessee was not a developer of the project or that assessee was only a contractor. Assessee had obtained loans in its name and made substantial investment for promotion of the project - the assessee could establish that it was a project developer which satisfied the conditions specified in Section 80- IB (10) as disallowance could not have been done considering the assessee as a mere works contractor The term “works contract” in the Act is an inclusive definition. It does not include merely a works contract as normally understood. It has a wide definition which includes “any agreement” for carrying out building or construction activity for cash, deferred payment or other valuable consideration. The definition as given in that Act does not make any distinction based on as to who carries on the construction activity - in favour of assessee.
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