https://www.taxtmi.com/caselaws?id=311837 The ITAT Mumbai ruled in favor of the assessee regarding deemed rental income on properties held as stock in trade. The AO had treated unsold property as deemed let out under section 23(1) and added 10% of property value as rental income. The tribunal, relying on Pegasus Properties Pvt. Ltd. precedent, held that no deemed rental income addition can be made for unsold stock held as stock in trade up to AY 2017-18. Since the assessment year was 2014-15, the tribunal directed deletion of the addition and allowed the assessee's appeal. en-us Mon, 03 Apr 2023 00:00:00 +0530 Tue, 26 Nov 2024 15:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=311837 The ITAT Mumbai ruled in favor of the assessee regarding deemed rental income on properties held as stock in trade. The AO had treated unsold property as deemed let out under section 23(1) and added 10% of property value as rental income. The tribunal, relying on Pegasus Properties Pvt. Ltd. precedent, held that no deemed rental income addition can be made for unsold stock held as stock in trade up to AY 2017-18. Since the assessment year was 2014-15, the tribunal directed deletion of the addition and allowed the assessee's appeal. Case-Laws Income Tax Mon, 03 Apr 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=311837