2021 (10) TMI 1428

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....016 (A.Y 2012-13) 1. That the Id. CIT (A) has erred in law and on facts in deleting the addition of Rs. 1,54,29,06,058/- made by AO treating the capital asset as stock in trade without appreciating the fact that the assesses is a real estate company and no addition in WIP was made during the year. The AO has rightly worked out the business profit on this transaction treating the same as stock in trade. 2. That the of Ld. CIT (A)-II, Agra, has erred in law and on facts in deleting the addition of Rs. 8,57,25,871/- made by AO, ignoring the fact that the assesses has shown interest of Rs. 8,57,25,871/- in the cash flow statement whereas in the P & L account only Rs. 38,31,079/- has been shown. The AO has rightly added the interest amount....

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....ot right in deleting the addition of Rs. 154,29,06,058/-made by the Assessing Officer treating the capital asset as stock in trade without appreciating the fact that the assessee is a real estate company and no addition in WIP was made during the year. The Ld. DR submitted that the Assessing Officer has rightly worked out the business profit on this transaction treating the same as stock in trade. 6. The Ld. AR relied upon the decision of the CIT(A). 7. We have heard both the parties and perused all the relevant materials available on record. The CIT(A) has given a clear finding that the construction of hotel as capital work in progress was accepted by the Revenue for Assessment Year made u/s 153C read with Section 143(3) of the Act for A....