Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

Keerthi Estates Versus The Income Tax Officer, Circle-6 (3) , Hyderabad.

Disallowance of deduction u/s 80IB(10) - non filing of completion certificate for the claim - Held that:- The Hon’ble Delhi High Court in the case of CIT vs. Jansampark Advertising and Marketing P. Ltd. [2015 (3) TMI 410 - DELHI HIGH COURT] held that the Tribunal being the final fact finding authority, is under an obligation to direct the A.O. to make proper enquiries if the discrepancies and facts are brought to its notice. In view of the same, we deem it fit and proper to remand the issue to t .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

urt in the case of Ittina Properties P. Ltd., (2014 (8) TMI 388 - KARNATAKA HIGH COURT ) and therefore, the A.O. shall not insist upon the said certificate for allowing deduction under section 80IB(10) of the Act. - Decided in favour of assessee. - ITA.No.1854/Hyd/2014 - Dated:- 24-3-2016 - SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER For The Assessee : Mr. S. Rama Rao For The Revenue : Mr. M. Sitaram ORDER PER SMT. P. MADHAVI DEVI, J.M. This is assessee s a .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

24,627. In the computation of total income, the assessee had claimed deduction of ₹ 1,51,12,561 under section 80IB(10) of the Act. During the assessment proceedings under section 143(3) of the I.T. Act, the assessee submitted a note stating that the firm has undertaken construction of a residential complex at Hubli, Bangalore and that the assessee is satisfying all the conditions as per section 80IB(10). The A.O. examined the development agreement dated 23.03.2006, the sanctioned plan appr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

completion certificate issued by the local authority. Therefore, the assessee was asked to furnish the same. The assessee vide letter dated 22.03.2013 submitted that the project was completed during the A.Y. 2010-2011 and the flats were all handed- over to the buyers and the assessee has also received the complete sale proceeds which are duly recorded in the books of account. The assessee submitted the completion certificate obtained from M/s. Aslam Architects and Interior Designers P. Ltd., Ba .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

formalities are complied with. The A.O. was however, was not satisfied with the assessee s contention and observed that the assessee has to furnish the completion certificate issued by the local authorities for claiming deduction under section 80IB(10) of the Act. He therefore, disallowed the claim of deduction under section 80IB(10) and brought it to tax. Aggrieved, assessee preferred an appeal before the Ld. CIT(A) who confirmed the order of the A.O. and the assessee is in second appeal before .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

f controversy is regarding the date on which the project was completed to be eligible for the benefit of the said provision. The Revenue contends, the completion certificate issued by the Village Panchayat is not valid and therefore the assessee is not entitled to the said benefit. Admittedly the plan is sanctioned by the BDA. The BDA has not issued any completion certificate. The reason being, in the BDA Act or the Karnataka Municipal Corporation Act, there is no provision for issue of completi .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

t be gone into in these proceedings because, when the statute does not provide for issue of such a certificate, if the Revenue insists on such certificate, the assessee would be left with no option except to get such certificate with some authority which would be called as a local authority. In the facts of this case, we are of the view that the Tribunal has recorded a finding that the building was completed within the stipulated period and therefore de hors this certificate issued by the Pancha .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

builder who undertakes group housing activity, the department is not willing to extend the benefit on the pretext that the production of completion certificate is a condition precedent for extending the benefit. Neither under the BDA Act nor under the Karnataka Municipal Corporation Act nor under the Karnataka Municipalities Act, there is any provision for issuance of a completion certificate. There is a provision for sanction of a plan, issue of a license, issue of a commencement certificate a .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

by the Parliament. 3.1. Thus, according to him, where the Karnataka Municipal Corporation Act does not provide for issuance of a completion certificate, the assessee could not have furnished the completion certificate as assessee cannot be asked to perform an impossible act. The Ld. Counsel further submitted that the assessee has furnished the municipal property assessments by the municipal authorities which goes to prove that the project was completed by the date certificates were issued after .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

High Court has held that the requirement of securing completion certificate issued by the local authority before the cut-off date is not directory but is mandatory and that the completion certificate granted by the local authority must bear the date of having been issued before the cut-off date. The Ld. D.R. further submitted that from the property assessment furnished by the assessee before the A.O., it is noticed that some of the properties have an area of exceeding 1500 sq. feet. Thus, accor .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Ld. Counsel for the assessee, submitted that the A.O. has already considered the same while examining the assessee s claim under section 80IB(10) and is deemed to have occupied the same as no adverse finding has been given in the assessment order. Even otherwise, he submitted that these assessments are made by the municipal authorities on the basis of the claims made by the individual owners and these areas may have included the common area which is not to be taken into consideration for the pur .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

under the Act. In the case before us, the undisputed facts are that the project is at Hubli, Karnataka. Under the Karnataka Municipal Corporation Act, there is no provision for issuance of completion certificate to any of the assessees. The Hon ble Karnataka High Court has taken note of this provision in the case of Ittine Properties P. Ltd., (cited supra), and has held that the assessee cannot be called upon to perform an impossible act. In the case of Global Realities, the Hon ble Madhya Prad .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     Latest Happenings     ↓  

Highlight: Levy of additions tax u/s 115O on distribution of dividend - shares of its profits declared as distributable among the shareholders is not impressed with the character of the profit from which it reaches the hands of the shareholder - not to be bifurcated as agriculture and non-agriculture dividend - SC

Highlight: Rate of GST on old and scrap buses - 28% or 18% - at such initial tender process initiated by the Respondents-KSRTC, the present petitions filed by the petitioners are premature and misconceived and do not require any interference by this Court at this stage. - HC

Forum: Rent a cab operator

Highlight: In view of amendment made u/s 132A of the Income Tax Act, 1961 by Finance Act of 2017, the 'reason to believe' or 'reason to suspect', as the case may be, shall not be disclosed to any person or any authority or the Appellate Tribunal, SC dismissed the appeal of the assessee

Highlight: Validity of Assessment Order - period of limitation u/s 153 (2A) is applicable even if the entire order was not set aside but matter was remanded back for for limited aspects with directions - HC

News: Note ban was a shake-up, achieved its main objectives

Notification: Amendments in the notification No.5/2017- Integrated Tax (Rate) dated the 28th June, 2017.

Highlight: Levying interest u/s 234C - interest is to be charged on the returned income and not on assessed income.

Highlight: Accrual of income - sale of right to develop and sell incentive FSI under LOI - till the conditions of LOI are fulfilled transfer is not complete and income does not accrue to the assessee

Highlight: TPA - determination of ALP - TP adjustment by applying Bright Line Test (BLT) is not sustainable on protective basis having no statutory mandate.

Highlight: Safeguard Duty - Advance License Scheme - as there is no exemption from safeguard duty leviable under Section 8C, which is imposed on the goods imported from China, the importer has to pay safeguard duty

Highlight: Manufacture - process of cutting of waste plastic container - Such plastic containers before and after cutting are nothing but waste / scrap - Not a manufacturing activity as no new product emerges.

News: NITI Aayog and Govt. of Assam organizes workshop on health sector reforms in Guwahati; launches SATH- Sustainable Action for Transforming Human Capital

Notification: Seeks to amend notification no. 5/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding restriction of refund on corduroy fabrics

Notification: Seeks to amend notification no. 2/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst exemptions

Forum: GSTR 3B Rectification

Notification: seeks to exempt Skimmed milk powder, or concentrated milk

Notification: Seeks to amend notification no. 2/2017- integrated tax(rate) dated 28.06.2017 to give effect to GST council decisions regarding GST exemptions.

Forum: 3B mistake

Notification: Seeks to amend notification no. 1/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates

Notification: Seeks to amend notification no. 1/2017- integrated tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates.

Forum: GST - TRAN1 - filed - Data uploaded with Remarks Processed with Error - Not coming in Electronic credit ledger - need suggession guidance

News: Notification Issued For GST Actionable Claim On Branded Food Products

Highlight: Classification printed computer stationary/manifold Business Forms - to be classified under Chapter Heading 4820.00 or under Chapter Heading 4901.90 - items like A4 sheets, advertisement and job card to be classified under Chapter 49

Forum: GST Invoice

Article: Websites of Government Departments need lot of improvement. We are noticing detoriations in them for example, case of website of ITAT.

Article: RCM – Applicability to persons not liable to get registered us 23(1)

Article: Credit of unsold stock [Section 140(3)] - Actual Credit as well as Notional Credit - Part-I - GST Transitional provisions

News: GST Refund - Blockage of Working Capital of Exporters - earlier also there was a normal blockage of funds for a period of 5-6 months at least

News: Clarification about Transition Credit - ₹ 1.27 lakh crore of credit of Central Excise and Service Tax was lying as closing balance as on 30th June, 2017 - claim of credit of ₹ 65,000 crore is not unexpected

Article: 20 Things You must know about E Way Bills in GST Law

Article: MISTAKES IN DRAFTING

Forum: Duty Drawback- Urgent

Highlight: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg. - Circular

Highlight: The definition of "subsidiary company" or "subsidiary" u/s 2(87) of the Companies Act, 2013 shall come into force w.e.f. 20-9-2017

Highlight: Central Government notified the All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017 - Notification

Notification: All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017

Circular: Investment by Foreign Portfolio Investors in Corporate Debt Securities – Review

Notification: Exemptions on supply of services under UTGST Act

Notification: Rates for supply of services under UTGST Act

Notification: Exemptions on supply of services under IGST Act

Notification: Rates for supply of services under IGST Act

Notification: List of Exempted supply of services under the CGST Act

Notification: Rates for supply of services under CGST Act

Highlight: Acceptance of deposits by companies from its members - conditions relaxed in case of Specified IFSC Public company and a private company - Rule 3 amended

Notification: Rate of exchange of conversion of the foreign currency with effect from 8th September, 2017

News: Tax Payers Advised To Confirm Identities Of Income Tax Search Authorities

Notification: Amendment in Appendix 3 (SCOMET items) to Schedule- 2 of ITC (HS) Classification of Export and Import Items 2012

Notification: The Customs and Central Excise Duties Drawback Rules, 2017

Circular: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg.



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version