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2017 (2) TMI 1124 - ITAT AHMEDABADDisallowance of deduction u/s 80IB(10) - development of commercial property by Raj Chandra Commercial Co-operative Housing Society limited was a sham and the artificial bifurcation of residential and commercial project was only to claim deduction under section 80IB(10) - Held that:- As decided in the case of Shri Umeya Corporation vs. ITO [2015 (9) TMI 108 - ITAT AHMEDABAD ] it is not even the case of the Assessing Officer that the assessee did not assume the entrepreneurship risks of the housing project. The format of arrangements for transfer of built up unit, and business model of the assessee for that purpose, is not decisive factor for determining eligibility of deduction under section 80 IB (10), but that is all that the authorities below have found fault with. The objections of the authorities below are thus devoid of legally sustainable merits. In view of the above discussions, and bearing in mind entirety of the case, we are of the considered view that the stand of the authorities below, in declining deduction under section 80IB (10) and on the facts of this case, is incorrect. We vacate the same and direct the Assessing Officer to delete the disallowance. As regards the points raised by the learned CIT(A) with regard to commercial construction by some other society, it is difficult to understand and as to what it has to do with the present claim. The approval is given to the housing project and the assessee has claimed deduction in respect of projects of the same. The objections taken by the learned CIT(A) are purely on the field of surmises and conjectures. Thus reject the same. Thus deduction under section 80IB(10) allowed - Decided in favour of assessee
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