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2015 (7) TMI 992 - AT - Income TaxDisallowance of deduction claimed u/s 80IB(10) - Held that:- Assessee has demonstrated with supportive documentary evidence that it is eligible for the claim of deduction u/s. 80IB(10) of the Act and the same is allowable not only on the profit disclosed in the pre-search returns of income filed u/s. 139(1) but also on the entire profit including the one disclosed additionally subsequent to the search proceeding u/s. 132 of the Act and disclosed in the return of income filed u/s. 153A of the Act. Even otherwise based on the rule of consistency if the eligible project undertaken remains the same and the conditions are satisfied and if deduction is allowable in the first assessment year (which is A.Y. 2006-07 in the assessee's case) then the same has to be allowed in the subsequent assessment years. - Decided in favour of assessee. Additional claim of deduction u/s. 80IB(10) claimed on the basis of seized document and statement u/s. 132(4) - Held that:- Assessee is entitled for claim of deduction in respect of additional income detected consequent to search is entitled to claim of deduction u/s. 80IB(10) of Act which is part of sale proceeds of flats of the project in question including cost of land totaling to ₹ 2.75 crore detected as result of search. This view is fortified by decision of Hon’ble Gujarat High Court in case of CIT Vs. Suman Paper Boards Ltd. [2009 (2) TMI 66 - GUJARAT HIGH COURT ] wherein held the assessee will be eligible for deduction u/s. 801/80IA of the Act in respect of undisclosed income under the block period, by holding that the assessee can't be denied the deduction u/s.80IA. As assessee firm has already submitted special audited report u/s. 80IB of the Act (Form No. 10 CCB) [P.B. 183] wherein at column 24 of the referred audited report, it is clearly stated that the assessee firm has no other business activities (i.e. other then developing a building housing projects as defined 80IB(10) of the Act). In the said report, the assessee has claimed special deductions u/s. 80IB(10) of the Act. Accordingly, assessee is eligible to claim deduction u/s.80IB(10) of the Act as discussed above.- Decided in favour of assessee.
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