TMI Blog2015 (5) TMI 1006X X X X Extracts X X X X X X X X Extracts X X X X ..... DABAD) and Radhe Developers (2007 (6) TMI 316 - ITAT AHMEDABAD ) should not have been followed by the CIT(A). In the absence of the same, we find no good reason to interfere with the order of the CIT(A), which is confirmed and the ground of the appeal of the Revenue is dismissed. - Decided in favour of assessee - ITA No.1868/Ahd/2011 - - - Dated:- 8-5-2015 - SHRI N.S. SAINI, ACCOUNTANT MEMBER AND SHRI S.S. GODARA, JUDICIAL MEMBER Appellant by : Shri D.C. Mishra, SR.DR Respondent by : None ORDER PER N.S. SAINI, ACCOUNTANT MEMBER: This is an appeal filed by the Revenue against the order of the CIT(A)-I, Ahmedabad dated 13.5.2011. 2. The sole ground of appeal taken by the Revenue is that the CIT(A) erred in dire ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the CIT(A) allowed the deduction under section 80IB(10) of the Act to the assessee by observing as under: 4.4 I have carefully examined the facts of the case, submissions of the appellant and perused the arguments of the Assessing officer. The AO's arguments are mainly based on two grounds i.e. the land was registered in the name of the society and that the permission for development was in the name of Society. As against this, the appellant has clarified and proved that the development was carried out by them. Even the cost for obtaining permission was borne by the appellant. The appellant had entered into both the agreements for development as also banakhat for purchase of land with the society and as per the agreement they have ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 005) dated 10/07/2008 has held thati) A development agreement is one where the land holder provides the land. The Builder puts up a building. Thereafter, the land owner and builder share the constructed area. The builder delivers the owner's share to the land holder and retains the builder's share. The land holder sells/transfers undivided share'/s in the land corresponding to the builder's share of the building to the builder or his nominees. The land holder will have no say or control in the construction of have any say as to whom and at what cost the builder's share of apartments are to be dealt with or disposed of. Such an agreement is not a joint venture in the legal sense. It is a contract for services. ii ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (supra) has allowed the claim of deduction under section 80IB(10) to the assessee. We find that the CIT(A) has given a finding that the entire risk for development of the project was taken by the assessee and the assessee was not paid remuneration as contractor. The assessee purchased the land for fixed consideration and developed the housing project on its own cost, and there was no joint venture with the land owner. This finding of the CIT(A) has not been controverted by the DR by bringing any positive material on record. Further, no material was also brought on record to show why the decision of the Tribunal in the case of Shakti Corporation (supra) and the Radhe Developers (supra) should not have been followed by the CIT(A). In the abse ..... X X X X Extracts X X X X X X X X Extracts X X X X
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