9911796707
TMI Blog2019 (4) TMI 1312X X X X Extracts X X X X X X X X Extracts X X X X ..... ocate for the respondent. ORDER P.C. : 1. The Revenue is in appeal against the judgment of the Income Tax Appellate Tribunal ("the tribunal" for short) raising following questions for our consideration : "1. Whether on the facts and circumstances of the case and in law, the Hon'ble Tribunal was justified, in not upholding the AO's findings that the income derived by the assessee from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... om house property?" 3. The respondent-assessee is a partnership firm and is engaged in the business of development of real estate. The questions arise out of the assessee's return of income for the Assessment Year 2006-07. While scrutinising such return, the Assessing Officer noticed that the assessee had earned an amount of Rs. 1.51 crores (rounded off) by leasing out certain flats and treat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... business of the assessee to the main business of development of real estate. The Tribunal referred to and relied upon the decision of the Division Bench of the Gujarat High Court in the case of Commissioner of Income-tax V. Neha Builders (P.) Ltd. reported in 2008 (296) ITR 661 and of the Supreme Court in the case of Chennai Properties and Investments Ltd. V/s. Commissioner of Income-Tax, reported ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ome or partake the character of the stock, and any income derived from the stock, would be 'income' from the business, and not income from the property. If the business of the assessee is to construct the property and sell it or to construct and let out the same, then that would be the 'business' and the business stocks, which may include movable and immovable, would be taken to be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h business, the assessee had let out certain properties so acquired and earned income out of such activity. The Supreme Court confirmed the view of the High Court that income generated from such source was assessee's business income and not the assessee's house property. 6. The second question is consequential to the first one. The Assessing Officer had objected to certain expenditure bei ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
