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2014 (6) TMI 1073 - HC - Income TaxApplicability of Section 28 (iv) - Assessee received payment by various cheques for assigning development rights, balance sum was not received in terms of the Memorandum of Understanding, but did not make any payment, it did not come forward to complete the transaction either - Assessee did not show this amount of as income - HELD THAT:- The circumstances in which the Memorandum of Understanding was executed, the sum received have been noted. The property in question was shown as reserved in the development plan by Kalyan Dombivali Municipal Corporation. There were several efforts made to have these properties released. Memorandum of Understanding was not withdrawn nor cancelled. In such circumstances, the Assessee continues to acknowledge the sum received and stated that it was a liability towards M/s. Highland Realities Pvt Ltd from the time the Memorandum of Understanding executed. It was thus of the view that it was obliged to return it. In these circumstances, both the Commissioner as well as the Tribunal found that Section 28(iv) will have no application. We do not find that a larger controversy or question needs to be gone into and based on the contentions raised by Mr. Malhotra. The correctness of the view taken in the case of Ahuja [2007 (5) TMI 257 - ITAT BOMBAY-I] need not be considered in the circumstances, which have been noted in paragraph no.9 of the order passed by the Tribunal and equally by the CIT (Appeals). Hence, we are of the opinion that the findings of fact cannot be termed as perverse.
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