JDA Advances Not Taxable as Business Income Where No Transfer under Section 2(47): ITAT Bangalore

DCIT Vs Mathikere Ramaiah Seetharam (ITAT Bangalore) The Income Tax Appellate Tribunal, Bangalore, disposed of a batch of five appeals involving multiple assessment years, filed by both the Revenue and the assessee. The principal dispute raised by the Revenue concerned the tax treatment of amounts received under a Joint Development Agreement (JDA) relating to land. For the assessment year 2013–14, the Assessing Officer treated the assessee as being engaged in the business of property development, recharacterised the land as stock-in-trade, and taxed the receipts from the JDA as business inco...