Ansal Housing Limited Vs ACIT (ITAT Delhi)
Delhi ITAT Upholds Tax on Notional Rent of Unsold Flats Held as Stock-in-Trade Following Delhi High Court Ruling
The Delhi ITAT dismissed the appeals of Ansal Housing Ltd. and upheld the addition of notional annual letting value (ALV) of unsold flats and commercial units held as stock-in-trade under the head “Income from House Property.” The Tribunal noted that the issue was no longer res integra, as it stood squarely covered against the assessee by the Delhi High Court’s decision in CIT v. Ansal Housing Finance & Leasing Co. Ltd., and accordingly sustained the action of the lower authorities.
As regards the addition of ₹16.19 crore made under section 43CA, the assessee submitted that the issue had already been resolved through a rectification order passed under section 154 read with section 250, granting the necessary relief. Since this submission remained uncontroverted by the Revenue, the Tribunal treated the ground as not pressed and dismissed it accordingly.
Following the same reasoning, the Tribunal dismissed the connected appeal for the subsequent assessment year as well. Thus, both appeals of the assessee were dismissed
Cases Discussed
FULL TEXT OF THE ORDER OF ITAT DELHI
