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Punjab Urban Planning & Development ... vs Assessee

Income Tax Appellate Tribunal19 February 2015

Ratio decidendi

The rule this decision rests on

The instalments received from allottees under a hire-purchase housing scheme are to be taxed on a receipt basis, and expenditure on construction relating to the scheme is to be allowed, where the same issue has already been decided against the assessee by the Tribunal in an earlier assessment year on identical facts and the Tribunal's order in that case is followed.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

IN THE INCOME TAX APPELLATE TRIBUNALCHANDIGARH BENCH 'B' CHANDIGARHBEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBERAND SHRI T.R.SOOD, ACCOUNTANT MEMBERITA No. 680/CHD/2014Assessment Year: 2010-11

M/s Punjab Urban Planning & Vs The DCI T, Development Authority, Circle 6(1), PUDA Bhawan, Mohali. Sector 62, Mohali.

PAN: AAALP0045J

(Appellant) (Respondent)

Appellant by : Shri Parikshit Aggarwal Respondent by : Dr. Amarveer Singh

Date of Hearing : 18.02.2015 Date of Pronouncement : 19.02.2015

O R D E R

PER BHAVNESH SAINI,JM

Th i s a p p e a l b y as s e s s e e i s d i re c te d a g a i n st t h e or d e r

of ld. CI T( A p pe a l s ) C h a nd i g a rh dated 2 8 . 05 .2 0 1 4 for

a s s e s s m e nt y e a r 2 0 1 0 - 1 1 , c h a l l en g i n g t h e a d d i ti o n o f R s .

2 2 , 1 3 , 0 1 0/ - on account of i n s t a l l m e nt s of housing

s c h e m e s so l d u nd e r t e n a nc y a g ree m e n t o f h i r e pur c h a s e .

2. Th e l d . C I T( A p p e a l s ) n o t e d t h a t as s e s s e e w a s t r e at i ng

t h e r e c e i p ts f r om a l l o t t e es o n a c c o u n t o f i ns t al l m e n t s o f

h o u s i n g s c h e m e s a s c a p i t a l re c e i p t s a n d w a s sh o w i n g s u ch

r e c e i p t s u n d e r h e a d " W or k e xec u t e d b y P U D A" t i l l t h e

c o m p l e t i on o f th e t e n u r e o f t he s c h e m e . Th e A s s e s s i n g 2

Officer he l d t he s e receipts as revenue r e c ei p t s a nd

included this amount in the taxable i n c o me of the

assessee. Th e l d . CI T( A p p e al s) n o t e d t h a t th e i s s u e of

t a x a b i l i t y o f a mo u n t o f i n s t a l l me n t a r o s e i n e a rl i e r y e a r s

a l s o a n d I TA T C h a n d i g a r h v i d e or d e r d a t ed 0 6 . 12. 2 0 1 3 i n

I TA No. 7 6 2 / CH D / 2 0 0 7 in as s e s s m e n t y ea r 2003-04

d e c i d e d t h e i s su e a g a i ns t t h e a s s e s s e e . Th e o p e r a t i v e

p o r t i o n o f th e o rd e r o f t h e Tr i b un a l i s q u o t ed i n p a r a 3 .2

o f t h e i m p ug n e d o r d e r . Th e l d . CI T( A p p e a l s ) , th e r e f o r e ,

f o u n d t ha t fa c t s o f t hi s ye a r be i n g i d e nt i c a l a n d f o l l o wi n g

t h e o r d e r o f t h e Tr i b u n a l h e l d t h a t t h e i n s t al l me n t s h a ve

to be t a x ed on r e c e i pt b a si s and e x pe n di t u r e on

c o n s t r u c ti o n r e l a t i n g t o t he h i re p u r c h a s e s c h em e h a s to

b e a l l o w e d. Th e l d . CI T( A p p e a l s ) , t h e r e fo r e , d i re c t e d t h e

A s s e s s i n g O f f i c er a c c o r di n g l y . Th i s g r o u n d wa s p a r t l y

allowed.

3. Th e l d . c o u n s e l f o r t h e a s s e s s e e ve r y f a i r l y s t a t ed t h a t

i s s u e i s c ov e r e d a g a i n s t t he a s s es s e e b y j u dg e m en t o f I TA T

C h a n d i g a rh B en c h in the c as e of the a s se s s e e for

a s s e s s m e nt y e a r 2 0 0 3 - 0 4 d a t e d 0 6 . 1 2 . 2 0 1 3 ( s up r a ) . He

has further s ub m i t t e d that fa c t s have a l r ea d y been

e x a m i n e d a n d t he r e i s n o n e e d f o r t h e A s s e s s i n g O f f i c e r to

e x a m i n e th e i s sue a g a i n .

4. In view of the s u b m i ss i o n of ld. c o u n s el f or t he

a s s e s s e e , w e d o n o t f i n d a n y e rro r i n t he o r d er o f t h e l d .

C I T( A p p e al s ) i n f o l l o w i ng t h e o rd e r o f t h e Tr i b un a l i n t h e 3

c a s e o f t h e s a me a s s e s s e e . Th e a p p e a l o f t h e a ss es s e e h a s

n o m e r i t a n d i s ac c o r d i n g l y d i s mi s s e d .

5. I n t h e r es u l t , a pp e a l o f t h e a s se ss e e i s di s m i s s ed .

Order p ro n o u n ce d in t he O pe n Court on 19th

F e b r u a r y ,2 0 1 5 .

Sd/- Sd/-

(T.R.SOOD) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER

Dated: 19 t h February,2015. 'Poonam' Copy to:

The Appellant, The Respondent, The CI T(A), The CI T,DR

Assistant Registrar, I TAT Chandigarh

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