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TMI Blog2022 (2) TMI 859X X X X Extracts X X X X X X X X Extracts X X X X ..... ase are that the assessee filed return of income for the assessment year 2014-15 on 29.11.2014. The case was selected for scrutiny and after following due process, the assessment under section 143(3) of the Income Tax Act, 1961 ["Act" in short] was completed. In the return of income, the assessee has claimed deduction under section 80IB of the Act of Rs..4,95,80,290/-. During the course of assessment proceedings, the details relating to the deduction claimed were furnished before the Assessing Officer. After considering the submissions of the assessee as well as the provisions of section 80IB of the Act as well as reply to the show cause notice, the Assessing Officer rejected the claim of deduction of Rs..4,95,80,290/- made under section 80 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee made a claim of deduction under section 80IB(10) of the Act. As called for, the assessee has furnished books of accounts, copies of sale deeds, copies of construction agreement, confirmation letters from the buyers having paid the booking advances for the purchase of flats and copies of allotment letters, etc. In the grounds of appeal, the Department has raised a specific ground in Ground No. 2 that the Assessing Officer in the assessment order has clearly brought out the fact that the construction agreement was made on 17.05.2011. We have carefully gone through the assessment order and nowhere in the assessment order, the Assessing Officer has stated that the construction agreement was made on 17.05.2011. In fact, in para 3 of the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion of clause (f) in section 80 IB(10) by the Finance Act, 2009 w.e.f. 01.04.2010 having prospective effect only. The assessee has recognized the said receipts in the relevant previous year as per its system of accounting regularly followed. We find that a co-ordinate bench of the 'tribunal' in Emgeen Holdings (P) Ltd vs. DCIT (2011) 47 SOT 98 (Mumbai) has held that this amendment would only have prospective effect. It is an undisputed fact that the assessee's residential units stood transferred to the aforesaid vendees well before the amendment. This makes us to observe that its act of merely recognizing the said receipts in subsequent assessment years would not turn the clock back to the year 2008 (supra). We reiterate that section 80IB( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f Om Swami Smaran Developers (P.) Ltd. v. ITO [2018] 90 taxmann.com 267 (Mumbai - Trib.) and relevant head-notes are reproduced as under: "Section 80-IB of the Income-tax Act, 1961 - Deductions - Profits and gains from industrial undertakings other than infrastructure development undertakings (Housing project) - Assessment year 2011- 12 - Assessee, a developer, had developed a housing project and claimed deduction under section 80-18(10) - Assessing Officer disallowed same on grounds that assessee had allotted three flats to a single person, thus, violated conditions of section 80-IB(10)(f) which provides that more than one residential unit in a housing project cannot be sold to one person/individual - Whether merely because assessee had ..... X X X X Extracts X X X X X X X X Extracts X X X X
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