TaxTMI 
TaxTMI 
2014 (1) TMI 701
X X X X Extracts X X X X
X X X X Extracts X X X X
....as the absolute owner of land situated at village Mundhwa, District Pune, bearing Survey No. 96-B, 96C and 96D, within the limits of the Pune Municipal Corporation admeasuring in an area of 72,186 sq. mtrs. On 19th September, 1990, the Additional Collector and Competent Authority, Pune Urban Agglomeration, granted permission to DPMC for redevelopment of non-vacant area admeasuring in an aggregate area of 39,527.71 sq. mtrs out of the said total area of 72,186 sq. mtrs. Further on 21.10.1992, the same competent authority granted exemption in respect of an area of 32,658 sq. mtrs., hitherto being used for industrial purposes. Thereafter, vide BOD meeting on 18.4.1996, DPM converted property having an area of 39,527.71 sq. mtrs for being used ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....se of the scrutiny assessment proceedings, the assessee was asked to furnish the bank statement of DPMC-RSL to corroborate that the profit has been shared equally. It was explained that the current account has been closed and since the lapse of the long period the bank is unable to give the copy of the statement. The assessee also filed a copy of the letter written to the bank requesting to issue the bank statements and the reply of the bank by which it showed its inability to furnish the requisite details due to gap of substantial time. The AO was of the firm belief that in the absence of bank statement, it is not possible to verify the genuineness of the claim of the assessee. The AO further sought details from the assessee in respect of ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....es. Therefore it has been shown as an advance to joint venture account since the assessee has received Rs. 25 lakhs on this account. The balance is shown in the balance sheet under Schedule 'H' - Loans and advances DPM Joint venture - Rs. 12,623,423/-. Since it is a receivable, therefore, it has not been claimed as expenses as pointed out by the AO. The Ld. Counsel for the assessee concluded that it has furnished audit reports in Form No. 10CCB of itself and also the developer M/s. Shree Venkatesh Creditors Promoters & Developers therefore the claim of deduction u/s. 80IB(10) should not be disallowed. 7. Per contra, the Ld. Departmental Representative strongly supported the orders of the lower authorities and claimed that the AO has rightl....
X X X X Extracts X X X X
X X X X Extracts X X X X
....eemed to have been approved on the date on which the building plan of such housing project is first approved by the local authority; (ii) the date of completion of construction of the housing project shall be taken to be the date on which the completion certificate in respect of such housing project is issued by the local authority; (b) the project is on the size of a plot of land which has a minimum area of one acre: Provided that nothing contained in clause (a) or clause (b) shall apply to a housing project carried out in accordance with a scheme framed by the Central Government or a State Government for reconstruction or redevelopment of existing buildings in areas declare....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ng such individual, the spouse or the minor children of such individual or the Hindu undivided family in which such individual is the karta. [Explanation.-For the removal of doubts, it is hereby declared that nothing contained in this sub-section shall apply to any undertaking which executes the housing project as a works contract awarded by any person (including the Central or State Government).]" 9. Now let us consider the reasons for which the AO has rejected the claim. The first reason given by the AO is that the assessee has not honoured the conditions of joint venture agreement. Secondly, having been failed to submit the bank statement, the assessee could not substantiate its claim that profit had been shared equally be....