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2014 (7) TMI 97 - HC - Income TaxDeduction of profits u/s 80IB(10) sub section (14) of the Act – Scope of term Built up area – Held that:- the definition which has been brought on the statute book with effect from 1st April 2005, would not apply to such projects which are completed prior to 1st April 2005 - the balcony area would not therefore be includable - computation of 'built up area' of the flat is concerned, the amendment having been brought in and introduced on 1st April 2005, then, in any housing project approved by the local authority prior to this date, balcony area cannot be included but will have to be excluded, is the conclusion reached by the Division Bench - the Assessee is an individual - after obtaining the development permission, the property was developed by constructing 97 flats - The details have been provided - the Assessee claimed the deduction by urging that it had completed the project and full occupation certificate was issued by the Municipal Corporation of Greater Mumbai as early as in 2004 - That being the case, the amended definition would not apply since that is relevant for the Assessment Year 2005-2006. - Decision in the case of M/s. Tinnwala Industries [2014 (7) TMI 90 - BOMBAY HIGH COURT] followed. The profits booked by the Assessee is on sale of the flats as that would be the only manner in which he would derive profit and later on book them - he cannot take assistance of the position prevailing prior to the amendment or the Division Bench order - This is not a pure question of law and which can decide with reference to some chart - This is a mixed issue and ought to have been squarely raised for consideration - the undertaking developing and building housing project has set out, the dates of completion of the project and issuance of full occupation certificate, namely, 27th December 2004 – thus, no substantial question of law arises for consideration - Decided against Revenue.
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