TMI Blog2014 (9) TMI 1103X X X X Extracts X X X X X X X X Extracts X X X X ..... they are inseparable and the intention is to carry on the business of letting out the commercial property and carrying at complex commercial activity and getting rental income therefrom, then such a rental income falls under the heading of profits and gains of business or profession. In fact, any other interpretation would defeat the very object of introduction of Section 80-IA as well as the scheme which is framed by the Government for development of industrial parks in the country. Thus the rental income earned by the assessee should be brought under the head of “Income from Business” and not under the head “Income from House Property”. - Decided against revenue - I.T.A. No. 1038/2008 - - - Dated:- 9-9-2014 - N. Kumar And Rathnakala, J ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion is one. As all the agreements are entered into contemporaneously and the object is to enjoy the entire property viz: building, furniture and the accessories as a whole which is necessary for carrying on the business, then the income derived therefrom cannot be separated based on the separate agreement entered into between the parties. What has to be seen is, what was the primary object of the assessee while exploiting the property. If it is found applying such principle that the intention is for letting out the property or any portion thereof, the same may be considered as rental income or income from properties. In case, if it is found that the main intention is to exploit immovable property by way of complex commercial activities, in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ther sources , but certainly not under the heading income from House property. If the intention is to exploit commercial property by putting up construction and letting it out for the purpose of getting rental income, then notwithstanding the fact that the furniture and fittings are provided to the lessee, the income from the building fall under the head income from house property . But if the assessee is in the business of taking land, putting up commercial buildings thereon and letting out such buildings with all furniture as his profession or business, then notwithstanding the fact that he has constructed a building and he has also provided other facilities and even if there are two separate rental deeds, it does not fall within the hea ..... X X X X Extracts X X X X X X X X Extracts X X X X
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