Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2018 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (4) TMI 1513 - AT - Income TaxDetermination of annual letable value (ALV) of the house property - flat remained vacant during the relevant previous year - Held that:- Where any part of the property is let out and was vacant during the whole or any part of the previous year and due to such vacancy rent received / receivable by the owner is less than the ALV determined under section 23(1)(a) in that case the actual rent received or receivable is to be treated as the ALV. The submissions of the DR, since the properties in dispute were not let out earlier, the assessee will not be eligible to avail the benefit of section 23(1)(c) is not acceptable. The expression ―the property or any part of the property is let as used in clause (c) of section 23(1) does not mean that for availing the benefit of the said sub–clause the property must have been let out earlier. The Tribunal, Mumbai Bench, in Premsudha Exports Pvt. Ltd. (2007 (5) TMI 348 - ITAT MUMBAI) has also held that the expression ― property is let under clause (c) of section 23(1) does not mean that the property should have been actually let in the relevant previous year or during any time prior to the relevant previous year. But it will mean the property is intended to be let out. Thus we hold that the learned Commissioner (Appeals) was justified in directing the Assessing Officer to allow the deduction under section 23(1)(c) to the assessee - Decided against revenue
|