Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, DELHI ‘F’ BENCH,
Before: SHRI T.S. KAPOOR, & SHRI SUDHANSHU SRIVASTAVA,
Similar issues are involved in these appeals and these were heard together, therefore, for the sake of convenience, a common and consolidated order is being passed.
The Ld. AR at the outset submitted that the assessee had been allotted a plot of land by Noida authority on lease hold basis for development of flats which the assessee had transferred to M/s Prateek Buildtech (India) Pvt. Ltd. on 29/03/2011 and after that all the lease rent payments were made by M/s M/s Prateek Buildteach (India) Pvt. Ltd. to Noida authority. The Ld. AR in this respect, invited our attention to copy of transfer deed placed at paper book page 23 to 29. The Ld. AR further took us to paper book page-1, where a copy of letter dated 06/03/2014 addressed to Assessing Officer was placed wherein this fact was brought to the notice of Assessing Officer. The Ld. AR submitted that even audited financial statements for both the assessment years were also filed with the Assessing Officer to highlight that no lease rental were paid by the assessee and therefore there was no liability to deduct TDS. It was submitted that the Assessing Officer did not take this letter into consideration and instead noted lease rentals for above two years from other information in his possession and imposed the liability for tax deduction at source. It was further submitted that the Ld. CIT(A) also did not understand the issue and confirmed the addition.
It was prayed that the matter may be set-aside to the Assessing Officer who should be directed to re-adjudicate the issue after taking into the fact that the assessee had already sold the property and had not made any payments to Noida authorities and the payment made by the purchaser of the property to Noida authority cannot be said to have been made by the assessee.
The Ld. DR, however relied upon the orders of authorities below.
We have heard both the parties and have gone through the material placed on record. We find that originally the assessee had been allowed a piece of land from Noida authority. A copy of lease deed is placed at paper book page 1 to 22. However, the said piece of land had been sold by the assessee to M/s Prateek Buildteach (India) Pvt. Ltd. and copy of transfer deed is placed at paper book page 23 to 29. We further find that this fact was brought to the notice of Assessing Officer vide letter dated 06/03/2014 wherein the assessee had stated that this land has been sold to M/s Prateek Buildteach (India) Pvt. Ltd. and the assessee did not make any payment to Noida authority and in this respect had filed financial statements for relevant assessment years. The Assessing Officer did not take cognizance of this fact. Similarly, the Ld. CIT(A) also did not take cognizance of this fact and therefore we deem it appropriate to remit the issue back to the Assessing Officer who should re- adjudicate the issue after taking into account the transfer deed and other evidences, which the assessee may file in support of its contention that TDS provisions were not applicable to it as it had not made any payment to Noida authority. Needless to mention here that due opportunity of being heard be provided to the assessee. In view of the above the appeals filed by the assessee are allowed for statistical purposes.
In the result, the appeals of the assessee are allowed for statistical purposes only. Order pronounced in the open court on 26/09/2019.