TaxTMI 
TaxTMI 
2016 (5) TMI 1085
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....before the CIT(A) arising from the assessment order dated 01-03-2013 passed by the Assessing Officer(hereinafter called "the AO") u/s 143(3) of the Income Tax Act,1961(Hereinafter called "the Act"). 2. The grounds raised by the assessee in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter called "the Tribunal") read as under:- " The grounds of appeal hereunder are without prejudice to one another; 1) On the facts and circumstances of the case as well as in Law the Hon'ble CIT(A) has erred in a. He has erred in upholding the action of the AO to compute the income from House Property disregarding the fact that the said property was not in habitable condition. b. Upholding the actio....
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....d to the total income. The assessee did not gave submissions before the AO. The AO treated the said flat at 'Kripanidhi' which was vacant during the previous year relevant to the assessment year 2010-11 as deemed let out property. The AO relied upon the orders of the Tribunal, Mumbai in the ITO v. Chem Mech Private Limited reported in (2002) 83 ITD 427(Mum.) and computed 8.5% of the book value of the vacant property appearing in books as Annual Value for the purposes of Section 23(1) of the Act and computed Rs. 24,42,973/- as annual value of the said flat. The AO allowed standard deduction u/s 24(a) of the Act and computed Rs. 17,10,081/- as 'Income from house property' of the assessee with respect to 'Kripanidhi' flat, vide assessment orde....
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.... to 'Kripanidhi' flat . The assessee submitted before the CIT(A) that during the year, the flat was not in habitable condition as the work was being carried out i.e. basic furniture and fittings, civil works, electrical fittings , plumbing work, interior work etc and that the substantial work has been carried out during the year under consideration. The assessee submitted that out of total expenditure of Rs. 51,20,576/- , the assessee has made addition of Rs. 28,80,325/- during the year under consideration towards said work of the flat and balance amount was spent in next year. The assessee submitted that property was not in habitable conditions and hence there arises no question of letting out the same. The assessee submitted that claim of....
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....eemed to be let out and ALV is computed and income from house property is brought to tax . The ld counsel submitted that the flat was not habitable and hence the same was not in a position to be let out. The assessee purchased the said flat for the purposes of residence of his son. The assessee's counsel drew our attention to the submissions made before the authorities below whereby it was stated that the flat was not habitable and summary of expenses being incurred during the previous year relevant to assessment year towards furniture and fixture, civil and electrical works etc by way of ledger account were submitted, which are placed at paper book filed with the Tribunal and also purchase agreement for buying the said flat in June 2008.Th....
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....ential flat . The property being Flat no. 31, Kripanidhi at JVPD Scheme, Mumbai was lying vacant for the entire previous year relevant to the assessment year under consideration and the Revenue has deemed the said residential flat at 'Kripanidhi' to be let out property and computed ALV based on 8.5% of the book value of the said flat which is now under challenge before the Tribunal . The assessee purchased the 'Kripanidhi' flat in June 2008 and got the possession of the flat in June 2008 (document for purchase placed in paper book filed with the Tribunal) and it is contended that the flat was not in habitable condition and the furniture ,civil, plumbing , electrical , interior work etc. was going on in the said flat which was incomplete til....