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2019 (10) TMI 278 - AT - Income TaxIncome from house property in respect of stock in trade u/s.23 - deemed rental income with respect to the properties held as stock in trade under section 23 - HELD THAT:- As in NEHA builders private Ltd [2006 (8) TMI 105 - GUJARAT HIGH COURT] wherein it was held that the income from the property held as stock in trade should be treated as business income. Income with respect to the properties held as stock in trade can be taxed under the head business and profession. Thus there is no question of computing the income qua the properties held as stock in trade under the head income from house property. We further hold that there is no provision under the head of income, namely “income from the business and profession” for computing the deemed rental income qua the properties held as stock in trade. Therefore, we are of the view that there cannot be any income under the head house property on account of deemed rent with respect to such properties held as stock in trade. We hold that there cannot be any income under the head house property qua the properties held as stock in trade on account of deemed rental income. As the assessee succeeds on the reasoning as elaborated in the preceding paragraph, therefore we are not inclined to adjudicate the other contentions raised by the assessee. Hence the ground of appeal of the assessee is allowed.
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