1994 (11) TMI 170

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....argued by the parties before the Tribunal. 3. The appellant in this case is an Advocate who admittedly was a Member of the Lawyers Cooperative Group Housing Society Ltd., and had been allotted a flat, the construction in respect of which had not been completed during the assessment year under consideration, viz., 1990-91. It is also an admitted fact that the assessee had during the previous year under consideration paid a sum of Rs. 10,000 as an instalment to the said Group Housing Society towards the flat which had been allotted to him and claimed the same as deduction under section 80C of the Act. 4. The ITO rejected the claim for deduction on the ground that during the previous year under consideration the flat had not been complet....

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....o-operative society of which the assessee is a shareholder or member towards the cost of the house property allotted to him ; or " 6. The learned counsel for the assessee with reference to the aforesaid provision of the Act stated that during the previous year relevant to the assessment year under appeal, the assessee had not come into possession of the flat but said event took place only in the financial year 1990-91 relevant to the assessment year 1991-92 and even then the assessee occupied the said flat and derived no rental income. It was also stated that the date of allotment of the flat was 22-5-1987 and the relevant provisions stipulated that the property be constructed, after 31-3-1987. The learned counsel also invited our attent....

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....d the only two requirements are that the construction be completed after 31-3-1987 and secondly. the income from the said property is chargeable under the head " Income from house property ". It is not disputed that the construction of the flat was completed after 31-3-1987 and we are in agreement with the view point canvassed by the learned counsel that the term used in the section is " chargeable " and not " charged ". Then again, it Is common knowledge that physical possession of a flat whether in a Group Housing Society or a scheme under a Government Authority or a Housing Board or even in respect of housing schemes floated by private entrepreneurs is not handed over to the allottee unless and until the total cost of the flat/property i....