TaxTMI 
TaxTMI 
2015 (9) TMI 1776
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....eduction u/s 80IB(10) of the Income Tax Act. The original assessment was completed on 30.8.2006 and the returned income was accepted. The assessment was reopened by issuing notice u/s 148 of the Act on 29.3.2011 after recording reasons and obtaining approval of the CIT. The assessment was completed u/s 147 read with section 143(3) of the Act on 23.12.2011 at taxable income of Rs. 33,19,740/- by not allowing the claim of deduction under section 80IB(10) of the Income Tax Act, 1961. The learned CIT (A) has confirmed the action of the Assessing Officer. Hence, this appeal. 3. The assessee has challenged the reopening in ground nos. 1 and 2 which read as under :- (i) On the facts and in the circumstances of the case, the ld. CI....
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....acts for claiming deduction u/s 80IB(10) of the Income Tax Act inasmuch as in Form No. 10CCB the required column 18(v) regarding built up area of each residential unit has not been certified/filled and this is the very essential condition for claiming deduction u/s 80IB(10) of the Income Tax Act as wherever residential unit built up area exceeds more than 1500 sq ft, no deduction is available to the assessee. Further, interest income on FDR of Rs. 2,73,386/- was also claimed to be eligible for deduction u/s 80IB(10) of the Income Tax Act which is not so. In view of these facts, the Assessing Officer was having prima facie reasonable belief that the assessee has failed to disclose fully and truly all material facts necessary for it....
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....The Assessing Officer denied the claim of the assessee on the basis that the assessee is merely acting as a contractor to the customer to whom the land has been sold. No registry whatsoever is being made for construction work done by the assessee. No new residential property is being constructed or transferred by the assessee as per the books of accounts of the assessee. The intention behind section 80IB(10) is to promote investment in a particular sector which was less profitable. In the assessee's case no investment has been made to start the project. The Assessing Officer also denied the claim on the basis that the project is not approved as a whole by the Municipal Corporation and no building permission was given. The Assessing Officer ....
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....evenue area of Dhamkheda Tehsil Huzur Bhopal. The projects were approved by the Town & Country Planning Department. The completion certificate was necessary for claiming deduction. The facts of the case show that the assessee has sold out plots to the customers and gave possession to them. Thereafter, the assessee has constructed individual building for these plot owners. The plan approval placed in the paper book at pages 65 to 92 clearly shows that the individual plot units were approved by Sarpanch Gram Panchayat. The approval was for individual plot unit. The certificate regarding completion produced and placed at page 64 of paper book itself shows that the completion was also for individual units of bungalows as the certificate mention....