ITAT Deletes Addition as Booked Flats Without Enforceable Agreements Cannot Trigger PCM Revenue

SNN Spiritua Developer Vs DCIT (ITAT Bangalore) The assessee filed two appeals before the Income Tax Appellate Tribunal Bangalore against separate orders of the Commissioner of Income Tax (Appeals) dated 27.02.2025 for Assessment Years (AY) 2019-20 and 2020-21. The appeals were heard together. For AY 2019-20, the primary issue concerned the manner of revenue recognition under the Percentage Completion Method (PCM). The assessee, a partnership firm engaged in real estate development and part of the SNN group, had commenced a project named ‘SNN Raj Spiritua’. It originally filed its return d...