Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (1) TMI 701 - ITAT MUMBAIDisallowance of deduction u/s 80IB(10) of the Act – Held that:- The assessee has not honoured the conditions of joint venture agreement - having been failed to submit the bank statement, the assessee could not substantiate its claim that profit had been shared equally between itself and DPMC - the reasons given by the AO are not even remotely connected with the conditions of Sec. 80IB(10) - the AO is fully convinced with the mandatory conditions of Sec. 80IB(10) - the assessee has not honoured the conditions of joint venture agreement than it is for the parties to the agreement to decide whether to go forward with the project or not, by any stretch of imagination, it cannot be a hurdle in allowing the deduction u/s. 80IB(10) of the Act. If the AO was not satisfied with the computation of the profit made by the assessee than nothing prevented him to give his own computation of income - on the contrary the AO has accepted the entire working of the assessee and yet denied exemption - It would not be out of place to mention here that in the case of joint venture partner, DPMC, the claim of deduction u/s 80IB(10) has been accepted by the AO by virtue of assessment order passed u/s. 143(3) of the Act - there is no reason for disallowing the claim of the assessee u/s 80IB(10) of the Act – Decided in favour of Assessee.
|