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2017 (11) TMI 2041 - AT - Income TaxDeduction u/s 80IA - profit from infrastructure development in respect of 18 construction projects - AO observed that assessee has only carried out the entire projects only in the capacity of works contractor and hence as per the Explanation to Section 80IA by the Finance Act 2007 with retrospective effect from 1.4.2000 , it is not entitled for deduction u/s 80IA(4) - HELD THAT:- As decided in own case for the Asst Year 2011-12 segregation of projects carried out by the assessee in Table A and Table B as was done in the earlier years , as rightly pointed out by the ld DR before us, were neither done by the ld AO nor by the assessee during the year under appeal. Moreover, it is not in dispute that the assessee had indeed carried out some projects which were carried forward from earlier years. Hence in the interest of justice and fair play, we deem it fit and appropriate to remand this issue to the file of the ld AO to find out the list of projects that are eligible for deduction u/s 80IA of the Act in the light of the decisions of this tribunal for the earlier years and decide the same afresh in accordance with law. Accrual of income - retention money as income of the year - assessee is following mercantile system of accounting - assessee’s contention is that in respect of retention money, the income arise to the assessee only when the said amount of retention money is received by the assessee and not at the time of raising of the bills - HELD THAT:- As decided in assessee own case for Asst Year 2011-12 retention money in works contract with Government is taxable only on receipt basis as held by the Jurisdictional High Court in the case of Commissioner of Income-tax Vs. Simplex Concrete Piles (India) [1988 (12) TMI 52 - CALCUTTA HIGH COURT]
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