Case Law Details
Pr. CIT Vs. Dharti Enterprises (Bombay High Court)
We find that this issue is now no longer res integra as it stands concluded against the Revenue and in favour of the Respondent by the decision of this Court in CIT v/s. Hindustan Samuh Awas Ltd., 377 ITR 150 . In the above case, it has been held that whether the project is completed within the time framed provided under Section 80IB(10) of the Act, and an application for issuance of completion certificate is filed within time, then delay on account of the competent authority in issuing completion certificate would not deprive the Assessee, the benefit of Section 80IB(10) of the Act. To the same effect the decision of the Gujarat High Court in CIT v/s. Tarnetar Corporation 362 ITR 174. In the present case on facts, it is found that not only the project was completed within time but an application for granting of certificate was also made well within the time. Thus, the Respondent should not suffer on account of the delay at the hands of the Competent Authority issuing the certificate.
In passing, we may also point out that the approval of plans and commencement certificate were received by the Respondent in respect of the project before the amendment to Section 80B of the Act on 1st April, 2005. In such cases, this Court has taken a view that the time limit provided by the amendment to complete the construction by obtaining completion certificate will not apply (see Pr. CIT v/s. M/s. Neeta Enterprises (ITA No.,1027 of 2016) rendered on 16th January, 2013). Hence, assessee would be entitled to deduction under section 80-IB(10).
FULL TEXT OF THE HIGH COURT ORDER / JUDGMENT
This Appeal under Section 260-A of the Income Tax Act, 1961 (the Act), challenges the order dated 18th May, 2015 passed by the Income Tax Appellate Tribunal (the Tribunal). The impugned order dated 18th May, 2015 is in respect of Assessment Year 2006-07.
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