Tca/78/2015 Of Commissioner Of Income Tax v. Mangalam Estates

In the High Court of Judicature at MadrasDated: 02.03.2015 Tax Case (Appeal) Nos.78 to 81 of 2015& connected M.Ps. The Commissioner of Income TaxTrichy. ... Appellant in the above T.C.(A)s M/s.Mangalam Estates,No.60, Mangamma Nagar Srirangam, Trichy. ... Respondent in the above T.C(A)s APPEALs under Section 260-A of the Income Tax Act against theorder dated 11.04.2013 made in I.T.A.Nos.1809 to 1812 respectively /Mds/2010 on the file of the Income Tax Appellate Tribunal, 'C' Benchfor the assessment years 2004-05 to 2007-08 respectively against theorder of the commissioner of Income Tax(Appeals); Trichirappalli,dated 29/9/10 made in ITA.No.294 to 299/09-10, against the Asst.Commissioner of Income Tax, Central Circle-I, Trichirappalli, dated31/12/09 made in PAN No.AAHFM 7875L in Assessment year 2004-2005 to2007-08. The above Tax Case (Appeals) are filed by the Revenue as againstthe order of the Income Tax Appellate Tribunal raising the followingsubstantial questions of law: "1. Whether on the facts and in the circumstances ofthe case, the Tribunal was right in holding that theassessee need not own land and then develop cum build thehousing project of the purpose of claiming deduction underSection 80IB(10)? 2. Whether on the facts and in the circumstances ofthe case, the Tribunal was right in holding that Section80IB(10) did not stipulate any such condition for the yearrelevant to the assessment year 2004-05, being the https://hcservices.ecourts.gov.in/hcservices/ commencement of the project 'shri vijayarangem' and thesubsequent amendment imposing bar on building commercialarea in excess to 2000 sq.ft. Will not be applicable toearlier period? 3. Whether on the facts and in the circumstances ofthe case, the Tribunal was right in holding that theprovisions of Section 80IB(10) provide for partialdeduction to the housing project with respect to the unitswithin the stipulated built up area where the same projectcontains unit exceeding the stipulated built up area?” 2. The assessment in the above cases relate to the assessmentyears 2004-05 to 2007-08. 3. The issues involved in the above Tax Case (Appeals) thatwhether the assessee is entitled to deduction under Section 80IB(10)of the Income Tax Act have already been decided by this Court inT.C.(A)Nos.581 & 582 of 2011 and 314 & 315 of 2012 dated 01.11.2012in favour of the assessee and against the Revenue holding that forthe purpose of considering the deduction, it is not necessary thatthe assessee, engaged in developing and construction of housingproject, should be the owner of the property. It is also held "whenthe local authority, being part of Chennai Metropolitan DevelopmentAuthority and also the approving authority, thus having certifiedabout the completion, we do not find any justifiable ground to invokeExplanation (2) to sub-section (10) of Section 80IB of the Income TaxAct for the purpose of negativing the claim. In any event, going bythe fact that the Explanation cannot have a control on thesubstantive provision, as a matter of construction, we agree with theassessee's contention and we have no hesitation in confirming theorder of the Tribunal. In the light of the above-said facts, wereject the Revenue's appeal." It is also held that the assessee isentitled to deduction in respect of the built up area exceeding 1500sq.ft. on a proportionate basis. Accordingly, all the questions havebeen dealt with by this Court in the decision dated 01.11.2012. 4. Hence, following the above-said decision of this Court, theabove Tax Case (Appeals) are dismissed and the order of the Tribunalstands confirmed. No costs. Consequently, connected M.P.s are alsodismissed. Sd/- Asst. Registrar /true copy/ Sub Asst. Registrar. SL To 1. The Income Tax Appellate Tribunal, "C" Bench, Chennai. 2. The Commissioner of Income Tax (Appeals), Tiruchirappalli 4. Hence, following the above-said decision of this Court, theabove Tax Case (Appeals) are dismissed and the order of the Tribunalstands confirmed. No costs. Consequently, connected M.P.s are alsodismissed. Sd/- Asst. Registrar /true copy/ Sub Asst. Registrar. SL To 1. The Income Tax Appellate Tribunal, "C" Bench, Chennai. 2. The Commissioner of Income Tax (Appeals), Tiruchirappalli 3. The Assistant Commissioner of Income Tax, Central Circle-I, Tiruchirappalli. Tiruchirappalli. +4cc's to M/s.J.Narayana Swamy, Advocate, S.R.No.11763 to 11766 Tax Case (Appeal) Nos.78 to 81 of 2015& connected M.Ps.& connected M.Ps. CA(CO)CA(11/03/2015)