IN THE ITAT BANGALORE BENCH ‘A’
Income-tax Officer, Ward 4(3), Bangalore
versus
Mahaveer Calyx
IT APPEAL NOs. 153 & 998 (BANG.) OF 2011
[ASSESSMENT YEARS 2007-08 & 2008-09]
AUGUST 31, 2012
ORDER
Jason P. Boaz, Judicial Member
These two appeals by Revenue are directed against the separate orders of the Commissioner of Income Tax (Appeals)-II, Bangalore dt.10.11.2011 for the Assessment Year 2007-08 and dt.8.8.2011 for Assessment Year 2008-09. Since common issues are involved, they are heard together and disposed off by way of this common order.
2. The facts of the case, in brief, are as under :
2.1 The assessee is a partnership firm developing residential flats. The assessee had planned to build 180 flats and it had obtained plan sanction for construction of the said housing project in Survey No. 45, Katha No. 114 in Nayanappanahalli village, Begur Hobli, Bangalore. It had claimed deduction under section 80IB of the Income Tax Act, 1961 (herein after referred to as ‘the Act’) in respect of the sale of flats for both assessment years under consideration at 100% of the profits.
2.2 During the course of assessment proceedings for both assessment years, the Assessing Officer found that the sanctioned plan for construction of the housing project showed that the assessee was to build the following area :
