9911796707
TMI Blog2023 (7) TMI 328X X X X Extracts X X X X X X X X Extracts X X X X ..... T(A)"], for the assessment year 2006-07. 2. In its appeal, the assessee has raised the following grounds:- "1. On facts and in the circumstances of the case and in law, the Learned CIT(A) erred in upholding the action of the Learned AO in determining the total income of the appellant at Rs. 32,230/- as against the returned loss of Rs. 56,97,977 Lakhs. 2. On facts and in the circumstances of the case and in law, the Learned CIT(A) erred in confirming AO's conclusion that the appellant Company had not commenced and carried on its business activity during the financial year, relevant to the AY 2006-07. 3. On facts and in the circumstances of the case and in law, the Learned CIT(A) erred in confirming AO's conclusion that the Nil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ot carried out any business activity for these years. The Assessing Officer also referred to the assessment order for the assessment year 2011-12, wherein expenses were disallowed on the basis that assessee's business has not commenced. 4. Vide impugned order, the learned CIT(A) held that the Tribunal nowhere in the order held that the assessee had commenced business operations in the financial year 2005-06. The learned CIT(A) further held that the commencement certificate and permission for construction were applied by the holding company before the appellate authority and not by the assessee company. It was also held that the development right agreement was entered into with 'Hincon Reality Ltd' and therefore it is not clear as to how th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said application could only be filed by it and not by the assessee. It is also the plea of the assessee that after signing the aforesaid land development agreement, the assessee entered into an agreement with M/s ICICI Property Services in February 2006 to conduct the feasibility study and alternative land use analysis, in respect of the said land, for the purpose of its redevelopment. M/s ICICI Property Services conducted number of analysis and number of meetings were also held by them with the assessee during the aforesaid period and submitted a report in the financial year 2006-07. For the aforesaid services, a consideration of Rs. 13,77,500, was paid to M/s. ICICI Property Services in the financial year 2007-08. 6. We find that the coo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es are to be allowed in accordance with the business activities. Hence, 1 therefore, restore this issue to the file of the AO to examine afresh after affording opportunity of being heard to the assessee. The AO also verified that software expenses claimed by the assessee are incurred on development of software or purchasing some parts of software and then will take a view that those expenses are capital in nature or revenue in nature. I order accordingly." 7. Thus, from the above, it is evident that the coordinate bench, inter-alia, after taking into consideration the project at Vikhroli, Mumbai, and the analysis conducted by M/s ICICI Property Services came to the conclusion that the business of the assessee was very much in existence in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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