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2016 (5) TMI 1268 - HC - Income TaxDeduction under Section 80IB(10) denied - date of completion - selection of relevant date - ITAT held that the assessee should be deemed to have commenced the work of development and construction, from the time even when the preliminary works started - Held that:- From the finding recorded by the Tribunal it is clear that certain expenses incurred by the assessee in removing the hut dwellers, digging of bore well, getting electricity connection, putting up compound walls and security cabins, etc. have all been taken by the Tribunal to be part of construction activity. If the Tribunal was of the concrete opinion that all these activities would constitute an activity of construction, the Tribunal ought to have first disallowed the findings recorded by CIT (Appeals) that the actual date of commencement of construction was 15.10.1998. But, unfortunately, the Tribunal agreed in paragraph 14 of its order that the actual date of commencement of construction was 15.10.1998. However, the Tribunal held that all pre-construction activities should be taken to be part of development, so as to pre-pone the date of development and construction. This, in our considered view, is not the correct interpretation to be offered to the composite expression "development and construction"of the housing project. - Decided in favour of assessee
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