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2016 (5) TMI 144
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....ction 80 IB(10) of the Act. The AO completed the assessment, under section143 (3) of the Act, determining the income of the assessee at Rs. 48, 09, 782/-. He did not allow the assessee's claim of deduction made under section 80 IB(10). He observed that assessee had completed construction of a housing project at Vasai having plot size of 6984. 50 sq. mts. , that the project consisted of three buildings, that the area of the project was less than 1 acre, that the assessee was not entitled to claim deduction as per the provisions of the Act. In the earlier round of assessment, in the regular assessment under section143 (3) the AO had denied the claim made by the assessee under section 80 IB (10). At that time it was held that three buildings ....
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....ts by way of two separate agreements were sold to the buyers, that the records of the Municipal Corporation showed that two flats as independent units, that society charges and municipal taxes were payable for these two flats separately, that the builder had handed over separate flats to the flat purchaser, that afterwards the purchaser combine the two flights, that the builder was not responsible for the same, that purchase of two adjoining flats by one family itself was not restricted under section 80 IB(10), that the restriction on sale of two flats to an individual/same family members was introduced with effect from 1/04/2010, that the FAA had, while deciding the appeals for the AY 2004-05 to 2008 - 09 had decided the issue in favour of....
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....e agreements/sale deeds for the same, that the society charges and municipal taxes payable by the owners of the residential units was separately charged for both the residential units and not on a combine basis as would have been the case if the combine flats had been prepared and sold as a single residential unit. The assessee had argued that the said units had been sold to purchasers as separate units and as per the agreements buyers were prohibited from making any alteration in the structural design of the flats, that once the possession was handed over to the purchaser the role of the builder was over, that if subsequently the owners modified the internal structure of the flat no responsibility could be fixed on the builder. After consi....
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....3(3) of the Act. During the appellate proceedings, the Ld. CIT(A) requested the AO to furnish what are those new facts which have emerged after the date of the order of the Tribunal . The AO filed a remand report dt. 27. 2. 2012. The relevant portion of the Remand report is reproduced hereunder: "The assessee has contended that no new facts have been mentioned in the impugned assessment order other than the ones enumerated in the original order that has been set aside by the Hon'ble ITAT on the issue of plot of land being less than one acre. In this regard, I have verified the regular assessment records of the assessee firm for the A. Yrs 2004-05 & 2005-06 and also the assessment records for the A. Yrs 2004-05 to 2008-09 and the respecti....
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....g the order of the Tribunal as confirmed by the Hon'ble Jurisdictional High Court, ground No. 1 is accordingly dismissed. 7. The issue raised in ground No. 2 relates to the grievance that some of the residential units are having a built up area exceeding 1000 sq. ft. is in contravention of the provisions of Sec. 80IB(10)(c) of the Act. It was the contention of the assessee that the expression "residential units" must have a connotation as assigned to it by local authorities granting approval to the project and if a local authority has approved buildings plan with residential unit of less than 1000 Sq ft and granted completion certificate as such deduction u/s. 80IB(10) has to be allowed. The assessee further contended that purchase of tw....