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2014 (5) TMI 347 - ITAT AHMEDABADDeletion of disallowance of development expenses – Held that:- CIT(A) rightly held that the assessee has brought up a scheme called Villa Sonata and has developed / was obliged to develop roads, common plots, club house with gymnasium, swimming pool etc., on which the expenses were claimed as Development Expenses and debited them to the Project account – disallowance is to be made and the amount is added to the total income as declared by the assesee - no depreciation is allowable on the cost of facilities - the facilities and amenities ultimately would belong to the plot holders and any depreciation wear or tear would be their loss - CIT(A) while deleting the addition by a well-reasoned order granted substantial relief to the assessee – revenue could not controvert the findings of CIT(A) nor had brought any material in its support – thus, there is no reason to interfere with the order of CIT(A) – Decided against Revenue.
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