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2012 (10) TMI 246 - AT - Income TaxDeduction u/s 80IB - Real Estate Developers - dis-allowance on ground that land is not owned by the assessee-firm and approval of the local authority for the construction of the said housing project was not in the name of the assessee and that the beneficial ownership was also not in the name of the assessee - also that proceeds are attributable to the sale of unutilized FSI - Held that:- CIT(A) deleted dis-allowance placing reliance on decision in case of Radhe Developers (2011 (12) TMI 248 - GUJARAT HIGH COURT) wherein it was held that Section 80IB(10) provides for deductions to an undertaking engaged in the business of developing and constructing housing projects under certain circumstances. It does not provide that the land must be owned by the assessee seeking such deductions - Revenue’s appeal is dismissed. As regards allowing deduction u/s 80IB(10) in respect of profits attributable to sale of unutilized FSI it is held that there is no requirement as to the FSI under the scheme of the provisions of section 80IB(10) and in any case, assessee had not sold FSI plot, even if the unutilized FSI rights are available with the assessee, it is the only way left out of utilizing such unutilized FSI is to make construction on top of the ground floor, which is already being sold to prospective buyers, and this concept of element of unutilized FSI sold is imaginary and based on surmises and conjectures - Decided in favor of assessee
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