Unsold flats held as stock-in-trade should be treated as business stock and not Income from House Property

Palm Grove Beach Hotels Pvt Ltd Vs DCIT (ITAT Mumbai) Conclusion: Assessee was in the business of construction and in developing housing complexes i.e to construct the property and sell it therefore, unsold flats held as stock-in-trade should be treated as business stock, not income from house property. Held: Assessee was engaged in developing housing complexes, and industrial parks, and operating five-star hotels. It e-filed its income tax return declaring a total income at a loss of Rs. 1,22,20,66,420. AO made a disallowance of Rs. 22,59,926 under section 14A, determining a deemed annual let...