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2014 (4) TMI 122 - HC - Income TaxClaim of deduction u/s 80IB(10) of the Act Scope of the term Built up area - Whether the rear courtyard enclosed by walls of a residential unit could be included as built-up area of the residential unit - Held that:- The definition of the words 'built-up area' was inserted by the Finance Act of 2004 w.e.f. 01.04.2005 much before the plans were approved - The built-up area would mean the inner measurements of the residential unit at the floor level including the projections and balconies as increased by the thickness of the wall but does not include the common area shared with other residential unit - the built-up area is to be worked out from the wall of the residential unit The area which is sought to be included by the Tribunal to calculate the built up area is the rear courtyard - in order to include an area to be a built up area to avail of deduction u/s 80-IB(10) of the Act, something has to be built on in order that such area can be included for calculating the built-up area. Relying upon Commissioner of Income Tax V/s G.R. Developers [2012 (7) TMI 91 - KARNATAKA HIGH COURT] - the area of courtyard cannot be included to calculate the built-up area in terms of Section 80- IB(10) of the Act the Tribunal was not justified to come to the conclusion that the area of the courtyard is to be included to calculate the built-up area and thereby holding that the residential unit was more than 1500 square feet which would disentitle the appellant to claim such deduction the Tribunal has misconstrued the provisions of Income Tax Act and the material on record to deny the benefit of deduction to the appellant in terms of Section 80-IB(10) of the Act Decided in favour of Assessee.
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