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Income Tax Appellate Tribunal, “SMC”, BENCH MUMBAI
Before: SHRI R.C.SHARMA, AM
आदेश / O R D E R PER R.C.SHARMA (A.M): This is an appeal filed by revenue against the order of CIT(A)-47, Mumbai dated 29/12/2016 for A.Y.2003-04 in the matter of order passed u/s.143(3) r.w.s. 147 of the IT Act. 2. The only issue involved in this case is with regard to the action of the AO to tax on the basis of fair market rent, even though the said property was vacant during the relevant financial year. The AO has discussed this issue in detail in para 4,5,6,7 & 8 of the assessment order. 3. Addition so made by AO was deleted by CIT(A) after observing as under:- “The Hon’ble ITAT in case of the appellant itself for A. Yrs. 2007- 2008, 2008-2009 2009-2010, 2906 & 7728/Mum/2012 in the judgement dated 17.12.2014, after hearing the appeal of the assessee and considering observations of the AO in assessment order
M/s. Ani Anu Developers Pvt. Ltd., as well as CIT(A) order dated 28.02.2014 for A Y 2007-08 to 2009- 10 allowed the asessee's appeal for statistical purpose and restored the matter back to the file of the AO for determining the annual ratable value as per provision of 22 and 23 of the Act. It has further been contended by the Ld.AR that the A. O. had merely relied upon investigation carried on during the first assessment proceedings. During course of reassessment proceedings no independent enquiry was made. It has been further contended by the Ld. AR that the A. O. has not furnished any reason for rejecting plea why income from house property should not be determined u/s. 23(l)(a) of. the I. T. Act. The Ld.AR further contended that the A. O. has n6t dealt with the judgment cited by learned A. O. on ad-hoc basis while considering fail market rent at Rs. 23.50 per sq. ft per month. The said fair market rent was applied authorized construction as well as unauthorized construction and when BMC had not issued occupation certificate. In view of the submissions made by the Ld.AR and the decision of the Hon'ble ITAT in appellant's own case for AYs 2007- 08 to 2009-10, the AO is directed to work out or compute the income of the appellant as per the annual ratable value as per section 22 & 23 of the I T Act, 1961 and delete the balance amount of addition.”
It is clear from the above that CIT(A) after following the order of the Tribunal in the A.Y.2007-08, 2008-09 and 2009-10, restore the matter back to the file of the AO to work out the income of the assessee as per the annual ratable value as per Section 22 and 23 of the IT Act and delete the balance amount of addition. I do not find any infirmity in the direction so given by CIT(A) by following the order of the Tribunal in assessee’s own case.