TaxTMI 
TaxTMI 
2018 (12) TMI 407
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.... 1. In the facts and circumstances of the case and in law, the Learned Assessing Officer erred in adding sum of Rs. 21,18,213/- as income from house property on a notional basis. 2. In the facts and circumstances of the case and in law, the Learned Commissioner of Income Tax (A) erred in confirming the addition." The Assessment for the impugned AY was framed by Ld. Income tax Officer-Ward 12(2)(3) in scrutiny assessment u/s 143(3) on 12/12/2011 wherein the income of the assessee was determined at Rs. 70.71 Lacs after certain adjustments and disallowances as against returned income of Rs. 49.63 Lacs filed by the assessee on 30/09/2009. As evident from grounds of appeal, the addition of Rs. 21.18 Lacs as made under the head I....
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.... Bunglow at Kashid 1,04,30,115/- 3,31,96,035/- Office Premises 7. Co-ownership of premises at Pheonix Mill Compound 22,80,141/- 8. Office Premises at Sikanderabad 1,24,050/- 24,04,191/- Gross Total 3,56,00,226/- Since no income was offered by the assessee against the aforesaid properties, the Ld. AO proceeded to compute the Annual Value of the same to tax the same under the head Income from House Property. The assessee defended his stand by submitting that the properties listed from serial numbers 1 to 3 were not provided with basic amenities like water & lift etc. whereas the other properties were simply stated to be under joint o....
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....ouncements as cited before us. So far as the properties listed at Serial Numbers 1 to 3 are concerned, the Ld. AR has submitted that these properties were under-construction properties and the same were not in habitable condition during impugned AY. The supporting documents, in this regard, has been placed on page numbers 19 to 178 of the paper-book. The demand letter issued by the society against the same has been placed on page numbers 179 to 181 of the paper-book, the perusal of which, prima facie, reveal that certain payment has been demanded by the society from the assessee to complete the balance work of the building and to obtain occupation certificate for the building. Both the lower authorities have not discussed this aspect in the....
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....visions as contained in Section 23 which read as follows:- Annual value how determined. 23. (1) For the purposes of section 22, the annual value of any property shall be deemed to be- (a)the sum for which the property might reasonably be expected to let from year to year; or (b)where the property or any part of the property is let and the actual rent received or receivable by the owner in respect thereof is in excess of the sum referred to in clause (a), the amount so received or receivable; or (c)where the property or any part of the property is let and was vacant during the whole or any part of the previous year and owing to such vacancy the actual rent received or receivable by the owner in re....
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....) Where the property referred to in sub-section (2) consists of more than one house- (a) the provisions of that sub-section shall apply only in respect of one of such houses, which the assessee may, at his option, specify in this behalf; (b) the annual value of the house or houses, other than the house in respect of which the assessee has exercised an option under clause (a), shall be determined under sub-section (1) as if such house or houses had been let. As per the above provisions, the annual value of the property is deemed to be the sum for which the property might reasonably be expected to let [in short referred to as ALV] from year to year. In case the property or any part of the property was let, the actual rent....