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2019 (4) TMI 1388 - HC - Income TaxCorrect head of income - activity of leasing out of shops and other commercial establishments to various persons - building was constructed for the purpose of shopping mall - House Property Income OR Business Income - HELD THAT:- The significant features are that the assessee had obtained loan from the bank for its mall-complex project. That the assessee had entered into lease and license agreement with individuals for letting out commercial space. Majority of these licensees was for a period of 60 months. In addition to providing such commercial space on lease, the assessee also provided range of common amenities. List of which is reproduced earlier. These facilities included installation of elevators, installation for Fire Hydrant & Sprinkler system, installation of central garbage collections and disposal system, installation of common dining arrangement for occupants and the staff, common water purifier and dispensing system, lighting arrangement for common areas etc. The assessee did not simply rent a commercial space without any additional responsibilities. The assessee executed lease and license agreements and also provided range of common facilities and amenities upon which the occupiers could run their business from the leased out premises. The charges for such amenities were also broken down in two parts. Charges for several common amenities was included in the rentals. Only on the consumption based amenity such as electricity, the occupant would be charged separately. All factors thus clearly indicate that assessee desired to enter into a business of renting out commercial space to interested individuals and business houses. - Decided against revenue
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