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2015 (9) TMI 495 - AT - Income TaxReopening of assessment - assessee has not fulfilled the required conditions of section 80IB(10) - Held that:- While framing the assessment for the assessment year 2006-07 the Assessing Officer found that the assessee has not fulfilled the required conditions of section 80IB(10) of the Act and the Assessing Officer recorded certain failure on the part of the assessee for not fulfilling the conditions as narrated u/s 80IB(10) of the Act which also include the built up area and amended provisions of the Act. The reassessment was not based on change of opinion but based on new material came into knowledge of the Assessing Officer during the assessment proceedings for the assessment year 2006-07. Considering all these aspects, we hold that the Assessing Officer was having sufficient material to make a belief for reopening of the assessment proceedings.- Decided against assessee. Claim of deduction u/s 80IB(10) - Held that:- The facts of the assessee's case show that the assessee was not a mere work contractor but it was a developer of the project. In none of the projects, the assessee has acted for fixed price for executing the work as in the case of works contract the work is awarded at a fixed consideration. Thus, the assessee cannot be held to be a mere contractor. Further, the assessee has not only constructed the houses but it has developed the roads, electrical work and also water connection system in whole of the project. There is no requirement that the project shall be approved in the name of assessee or assessee shall be land owner - Assessee is a developer as assessee has undertaken not only the development of the house but also of the road, water and electricity - Decided in favour of assessee.
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