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 1413 - ITAT MUMBAIWhether income from lease rent be assessed as income from house property or income from business - Held that:- The assessee has let out the property by the leave and license agreement dated 31.07.2006 for a further period of 33 months upto 31.01.2009 - The assessee has let out the property for the longer period w.e.f. 21-07-2002 by way of leave and license agreement - The assessee was not involved in day to day management or maintenance of the premises and except giving the property on leave and license basis, there are no complex commercial activities involved in this agreement - The agreement was also registered by virtue of Maharashtra Rent Control Act and there are no other plant and machinery so as to consider that the assessee is exploiting it on commercial basis. Immediately after acquiring the property, the property was not occupied by the assessee for its own use for its business and was let out from the time it was acquired on leave and license basis for a longer period of 33 months each time - Decision in CIT vs. Chennai Properties [2003 (3) TMI 28 - MADRAS High Court] followed - The rental income has to be treated as income from house property - The depreciation shall be allowed only when the assessee starts using the property for its business purposes - Decided against assessee.
|