2003 (12) TMI 25

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.... rent of Rs. 0.75 per square foot long back. Bangur Brothers had been granted the right to sublet the said office space to others and had actually sublet the same to M/s. Bengal Papers Mills Limited long time back. After Bangur Brothers surrendered its tenancy right, the assessee entered into a formal agreement of tenancy with Times Construction on April 17, 1987, in respect of the said office space and on May 12, 1987, Times Construction entered into an agreement with the State Bank of Bikaner and Jaipur for subletting the said office space to the said bank at a monthly rent of Rs. 14 per square foot along with another amount of Rs. 6.35 per square foot towards service charges and maintenance charges. In the process, the assessee-company s....

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.... (Cal). Mr. J. P. Khaitan, learned counsel for the assessee-respondent, relied on the findings of the Tribunal as also the provisions of law particularly as contained in section 23 of the Income-tax Act, 1961. He also relied on the judgment in the case of Mrs. Sheila Kaushish v. CIT [1981] 131 ITR 435 (SC). It has also been pointed out that the provisions of law applicable in respect of the concerned assessment year, if taken into consideration, clearly explains the difference of view taken in the cases cited by the Revenue. After considering the aforesaid contentions, we find that section 22 is as follows: "22. Income from house property. -The annual value of property consisting of any buildings or lands appurtenant thereto of which the....

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....rol law would be the annual value if the standard rent is not determined. The above judgment of the apex court was considered and explained by another Division Bench of this court in the case of Kishanlal and Sons (Udyog) Pvt. Ltd. [2003] 260 ITR 481. Considering the said judgment of the apex court as also the provisions of law contained in section 23, it has been held by the said Division Bench as follows: "If a property is actually let out, then the expectation of its letting out becomes an actual reality, and the proof of the expectation, can be made in the best manner possible, by producing evidence of the rental which is being actually received by the assessee." In the present case in hand, none of the agreements either between the....