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2021 (1) TMI 411 - AT - Income TaxIncome from house property - Determination of gross annual value - rent realizable by the assessee - AO took adhock rate of 7% of value of property - CIT(A) directed to AO to compute the value, from December 14, 2012 to March 31, 2013 as from the date of the occupation certificate from Mumbai Metropolitan Region Development Authority (MMRDA) - HELD THAT:- Perusal of the assessment order goes to prove that the AO without bringing on record any evidence of the quantum of rent realizable by the assessee qua the property in question proceeded to take ad hoc rate of 7% of the value of property in question to be its annual value. So, we are of the considered view that GAV computed by the AO by ignoring the provisions contained u/s 23(1)(a) of the Act is not sustainable in the eyes of law. Findings returned by the ld. CIT (A) are based upon the facts factually dealt with on record wherein the assessee contended that since he (assessee) has not received the permission to occupy the property before 30.03.2013, the provisions of section 22 and 23 (1) of the Act in regard to notional income was wrongly applied by the AO. CIT(A) reached the conclusion on facts that though assessee was granted permission to occupy the building w.e.f. 30.03.2013 but he had obtained the occupation certificate from Mumbai Metropolitan Region Development Authority (MMRDA) till 17th floor of the building on 14.12.2012. - So, finding no illegality or perversity in the impugned order, appeal filed by the Revenue is hereby dismissed.
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