TMI Blog2013 (10) TMI 1548X X X X Extracts X X X X X X X X Extracts X X X X ..... 20, 41, 667/- being the amount received from the Developers for agreeing to the redevelopment, for alleviating hardship of shifting/reshifting and agreeing to share the common area with more persons after redevelopment; as income from other sources. 2. Under the facts and circumstances of the case and in law, the learned CIT(A) has erred in not following the judicial pronouncements cited by the Appellant. 3. Under the facts and circumstances of the case and in law, the learned CIT(A) has erred in upholding the chargeability of the interest under the provisions of section 234A, 234B and 234C of the Act. 4. The Appellant craves leave to add, amend or modify any of the grounds of appeal. 2. Assessee, an Individual, filed her return ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... developer, that the amount received by her was not offered for taxation, that she had deposited the amount in question in her Bank Account maintained with the Indian Overseas Bank. AO asked the assessee to explain as to why the amount received from the developer should not be treated as taxable receipt as per the provisions of the Act. After considering the submissions of the assessee, AO held that amount received by the assessee was not exempt from tax. He further held that amount received from the developer was taxable in the hands of the assessee under the head Income from Other Sources. 3. Assessee preferred an appeal before the First Appellate Authority(FAA). After considering the submissions of the assessee and the assessment orde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 10. We have heard both the parties. In the decision of the ITAT Mumbai Bench in the case of New Shailaja Co. Operative Hsg, Soc. Ltd. Vs ITO in ITA No. 512/M/07 = (2009-TIOL-58-ITAT-Mum), the Tribunal has observed as under: We have heard the rival submissions acid perused there/eva, it material on record. The concept of T. D. R(Transfer Development Right) as noted by the AO on page 9of the order was introduced in Mumbai in the Development Control Rules, 1991 of the Bombay Municipal Corporation. These rights are given in the form of a Development Right Certificate (DRC) which is issued by the Municipal Corporation TDR means the development potential, the FSI of a plot of land is separated from the plot and is allowed to be transferred. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... id order has been modified or reversed by the Hon ble High Court. Further, the ld. D. R. could not point out any contrary decisions. Respectfully following the precedent, we accept this ground of appeal. The Tribunal in the above mentioned case was dealing with transfer of additional FSI. In the instant case the facts are similar where the assessee his transferred 50% of the FSI they are entitled to in favour of the developer. The land continues to be with the assessee. Thus, there is no transfer of land by the assessee in favour of the developers. The assessee has received consideration only for granting right to utilise 50% of the FSI and construct building and deal with the same. Therefore, the ratio of the Tribunal decision stated su ..... X X X X Extracts X X X X X X X X Extracts X X X X
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