REIT Not Eligible for Deduction u/s 35D on IPO & Listing Expenses: Bangalore ITAT

Advertisement Embassy Office Parks REIT Vs DCIT (ITAT Bangalore) The ITAT Bangalore held that a Real Estate Investment Trust (REIT) constituted as a trust is not entitled to deduction under Section 35D(2)(c) of the Income-tax Act, 1961 for expenditure incurred on its initial public offer and listing of units. The assessee claimed deduction of ₹66.62 crore, being one-fifth of IPO and listing expenses, contending that Section 35D should be interpreted harmoniously to extend the benefit to REITs. The Tribunal held that Section 35D(2)(c) expressly applies only “where the assessee is a compa...