9911796707
TMI Blog2012 (12) TMI 1014X X X X Extracts X X X X X X X X Extracts X X X X ..... cumstances of the case the Income Tax Appellate Tribunal has erred in law in holding that the assessee is entitled to get deduction of Rs. 33,99,602/- under section 80IB(10) of the Income Tax Act, 1961 though the assessee did not own the land and the name of the assessee does not appear in the permission for development granted by local authority? (iii) Whether in the facts and circumstances of the case, the Income Tax Appellate Tribunal has erred in law in deleting the disallowance of expenses of Rs. 33,99,602/- by enlarging/relaxing the section 80IB(10) of the Income Tax Act, 1961 by laying down the concept of "Investment Risk" and "Dominant Control"?" 2. Having perused the orders on record with the assistance o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oject. The assessee had to pay the fees to the Architects and Engineers. Additionally, assessee was also authorized to appoint any other Architect or Engineer, legal adviser and other professionals. He would appoint Sub-contractor or labour contractor for execution of the work. The assessee was authorized to admit the persons willing to join the scheme. The assessee was authorised to receive the contributions and other deposits and also raise demands from the members for dues and execute such demands through legal procedure. In case, for some reason, the member already admitted is deleted, the assessee would have the full right to include new member in place of outgoing member. He had to make necessary financial arrangements for which purpo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aging professional agencies and so on. Most significantly, the risk element was entirely that of the assessee. The land owner agreed to accept only a fixed price for the land in question. The assessee agreed to pay off the land owner first before appropriating any part of the sale consideration of the housing units for his benefit. In short, assessee took the full risk of executing the housing project and thereby making profit or loss as the case may be. The assessee invested its own funds in the cost of construction and engagement of several agencies. Land owner would receive a fix predetermined amount towards the price of land and was thus insulated against any risk." 3.We are informed that such decision of this Court was challenged befo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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