CIT v. Ansal Housing Finance & Leasing Co. Ltd.

354 ITR 180High Court2013#435 most cited

What is CIT v. Ansal Housing Finance & Leasing Co. Ltd. authority for?

Annual Letting Value (ALV) of unsold stock-in-trade flats/shops held by a real estate developer can be assessed under Section 22 of the Income Tax Act, 1961, as income from house property. This approach was followed by the Assessing Officer (AO) based on this decision.

208

judgments rely on this decision, according to BharatTax’s citation analysis of 367,302 Indian tax judgments — from 2011 to 2025.

Also referred to as

CIT v. Ansal Housing Finance & Leasing Co. Ltd. · Section 22 · Section 143(3) · Annual Letting Value · ALV · unsold stock-in-trade · house property income · real estate developer · stock in hand · income from house property

Also reported as

29 Taxmann.com 303213 Taxmann 143

Sections most often in play

Section 143(3)Section 22Section 14ASection 23(5)Section 1961Section 23Section 80IB(10)Section 8D
Read the full judgment

Issues it is cited on

section 23(5)annual letting valuesection 23(4)annual valuesection 23(1)section 24(a)section 80ib(10)section 22percentage completion methodproject completion methodsection 24(b)section 43ca

Judgments citing CIT v. Ansal Housing Finance & Leasing Co. Ltd.

DCIT 27(1), Mumbai vs. M/S Gopuram Developers, Mumbai

In the result, the appeal of the revenues dismissed

ITA 1587/MUM/2022[2014-2015]Status: DisposedITAT Mumbai31 Oct 2022AY 2014-2015

Bench: Shri Om Prakash Kant () & Shri Sandeep Singh Karhail ()

Section 143(3)Section 28Section 43C

…o A.Y. 2013-14. The addition of notional rent of Rs.70,19,910/- has been made by the A.O. on incorrect finding. The A.O. has further relied on the judgement of Hon'ble Delhi High Court in the case of CIT vs Ansal Housing Finance and Leasing Company Ltd (2013) 354 ITR 180 (Del) whereas contrary view has been taken by the Hon'ble Gujarat High Court in the case of CIT vs Neha Builders (2008) 296 ITR 661 (Guj), various orders of Co-ordinate Benches of Hon'ble ITAT Mumbai have also disagreed with the judgement of Hon'ble Delhi High Court in the case of Ansal Housing Finance and Leasing Company Ltd (2013) 354 ITR 180 (…

ACIT CC- 4 (2), Mumbai vs. K.Raheja Corp.Pvt. Ltd., Mumbai

Appeal is dismissed

ITA 2517/MUM/2021[2013-14]Status: DisposedITAT Mumbai31 Oct 2022AY 2013-14

Bench: Shri Pramod Kumar, Vice- & Shri Vikas Awasthyआअसं. 2284/मुं/2021 ("न.व .2012-13) आअसं. 2285/मुं/2021 ("न.व .2013-14)

For Appellant: Shri Madhur AgrawalFor Respondent: Shri Salil Mishra
Section 132Section 143(3)

…ccount of notional income as income from house property in respect of unsold units, held by the assessee as its stock in trade without appreciating the decision of the Hon'ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd. 354 ITR 180." 13. The ld.Counsel for the assessee submits that identical issue had come up before the Tribunal in assessee's own case in assessment year 2015-16. The Tribunal deleted the addition. The facts in the impugned assessment year are identical. 14. The ld.Departmental Representative vehemently defended the addition made by Assessing Officer in resp…

K. Raheja Corp Pvt.Ltd, Mumbai vs. DCIT Central Cir-4(2), Mumbai

Appeal is dismissed

ITA 2285/MUM/2021[2013-14]Status: DisposedITAT Mumbai31 Oct 2022AY 2013-14

Bench: Shri Pramod Kumar, Vice- & Shri Vikas Awasthyआअसं. 2284/मुं/2021 ("न.व .2012-13) आअसं. 2285/मुं/2021 ("न.व .2013-14)

For Appellant: Shri Madhur AgrawalFor Respondent: Shri Salil Mishra
Section 132Section 143(3)

…ccount of notional income as income from house property in respect of unsold units, held by the assessee as its stock in trade without appreciating the decision of the Hon'ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd. 354 ITR 180." 13. The ld.Counsel for the assessee submits that identical issue had come up before the Tribunal in assessee's own case in assessment year 2015-16. The Tribunal deleted the addition. The facts in the impugned assessment year are identical. 14. The ld.Departmental Representative vehemently defended the addition made by Assessing Officer in resp…

K. Raheja Corp Pvt.Ltd, Mumbai vs. DCIT Cent. Cir -4(2), Mumbai

Appeal is dismissed

ITA 2284/MUM/2021[2012-13]Status: DisposedITAT Mumbai31 Oct 2022AY 2012-13

Bench: Shri Pramod Kumar, Vice- & Shri Vikas Awasthyआअसं. 2284/मुं/2021 ("न.व .2012-13) आअसं. 2285/मुं/2021 ("न.व .2013-14)

For Appellant: Shri Madhur AgrawalFor Respondent: Shri Salil Mishra
Section 132Section 143(3)

…ccount of notional income as income from house property in respect of unsold units, held by the assessee as its stock in trade without appreciating the decision of the Hon'ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd. 354 ITR 180." 13. The ld.Counsel for the assessee submits that identical issue had come up before the Tribunal in assessee's own case in assessment year 2015-16. The Tribunal deleted the addition. The facts in the impugned assessment year are identical. 14. The ld.Departmental Representative vehemently defended the addition made by Assessing Officer in resp…

DCIT Cent. Cir -4(2), Mumbai vs. M/S. Inorbit Malls (India ) Pvt. Ltd, Mumbai

In the result appeal of the revenue is partly allowed for statistical purposes

ITA 2220/MUM/2021[2017-18]Status: DisposedITAT Mumbai11 Oct 2022AY 2017-18

Bench: Shri Amit Shukla, Jm & Shri S Rifaur Rahman, Am आयकरअपीलसं./ I.T.A. No.2220/Mum/2021 (निर्धारणवर्ा / Assessment Year: 2017-18) Dcit Central Cir-4(2) M/S. Inorbit Malls P.Ltd Room No.1918, 19Th Floor, बिधम/ Plot No.C-30,Bnlock-G, Air India Bldg, Nariman Opp Sidbi Bank, Bkc, Point Mumbai 400021 Vs. Bandra (East), Mumbai 400050 स्थायीलेखासं./जीआइआरसं./ Pan No. Aaack9106G (अपीलाथी/Appellant) (प्रत्यथी / Respondent) : अपीलाथीकीओरसे/ Appellant By : Mr. Madhur Agarwal, Adv. प्रत्यथीकीओरसे/Respondent By : Mr. Ganesh Bare, Cit Dr सुनवाईकीतारीख/ : 14.07.2022 Date Of Hearing घोषणाकीतारीख / : 11.10.2022 Date Of Pronouncement आदेश / O R D E R Per Amit Shukla:

For Appellant: Mr. Madhur Agarwal, AdvFor Respondent: Mr. Ganesh Bare, CIT DR
Section 115JSection 14ASection 153A

…tock in trade without appreciating the decision of the Hon'ble Apex court in the case of S. G. Mercantile Corpn. (P) Ltd us C.I.T. AIR 1972 SC 732 and the decision of Hon'ble Delhi High Court in the case of CIT Vs. Ansal Housing Finance & Leasing Company Ltd. 354 ITR 180." ii) "On the facts and circumstances of the case and in law, the Ld CIT(A) has erred in restricting the disallowance u/s 14A of the IT Act to the extent of exempt income received by the assessee during the year under consideration without appreciating the Circular No. 5 of 2014 dated 11.02.2014 of CBDT." iii) On the facts and circumstances of th…

DCIT 27(1), Mumbai vs. Gopuram Developers, Mumbai

In the result, the appeal filed by the Revenue is accordingly dismissed

ITA 1408/MUM/2022[2013-2014]Status: DisposedITAT Mumbai28 Sept 2022AY 2013-2014
Section 133ASection 143(3)

…assessee as stock-in-trade of its business as that of a builder and DEPASON developer is not merited. Jurisdictional ITAT has considered the judgment of the Hon'ble Delhi High Court in the case of CIT Vs. Ansal Housing Finance and Leasing Company Ltd. (2013) 354 ITR 180 (Del) which has been relied upon by the AO and the Hon'ble ITAT has decided the issue in favour of the assessee. Further the Hon'ble ITAT, in para 5 of the above reproduced decision, has held that the newly inserted Section 23(5)vide Finance Act, 2017 w.e.f. 01.04.2018 is applicable prospectively i.e. w.e.f. A.Y. 2018- 19, the same, thus, would n…

Shri Manoj Lalman Awashi, Mumbai vs. Pr.Comm of Income Tax (PCIT), Mumbai

In the result, appeal of the assessee is allowed

ITA 1072/MUM/2022[2017-18]Status: DisposedITAT Mumbai23 Aug 2022AY 2017-18
Section 142(1)Section 143(3)Section 23(5)Section 263

…’ should be subjected to tax as deemed rental income u/s.23(5) of the Act. The ld. PCIT placed reliance on the decision of the Hon’ble Delhi High Court in the case of CIT vs. Ansal Housing Finance and 3 Shri Manoj Kalman Awasthi Leasing Co. Ltd., reported in 354 ITR 180 in support of his contentions. The assessee was directed to furnish reply on 07/03/2022 on which date the assessee did not file any reply. We find that subsequently yet another notice was issued to the assessee on 10/03/2022 fixing the hearing on 14/03/2022. The assessee did not comply on 14/03/2022 by filing the requisite details and explanation…

Sundaram Developers, Mumbai vs. DCIT 5(1), Mumbai

Appeal is partly allowed

ITA 6682/MUM/2016[2012-13]Status: DisposedITAT Mumbai28 Jul 2022AY 2012-13
For Appellant: NoneFor Respondent: Shri Hoshang B. Irani
Section 142(1)Section 143(3)

…by the Assessing Officer. During the assessment proceedings the Assessing Officer noticed that the Appellant held unsold shops as stock-in-trade. Applying the decision of the Hon‟ble Delhi High Court in the case of CIT Vs. Ansal Housing Finance & Leasing Co. 354 ITR 180 (Del), the Assessing Officer concluded that the Appellant was liable to pay income tax on the rental income computed on the basis of annual letting value of the unsold shops held as stock-in-trade by the Appellant and made an addition of INR 21,08,904/-. In appeal preferred by the Appellant/Assessee, the CIT(A) confirmed the aforesaid addition.…

Homeland Constructions Private Limited, Pune vs. Assistant Commissioner of Income-Tax, Circle - 11, Pune

In the result, the appeal filed by the assessee is allowed

ITA 17/PUN/2019[2015-16]Status: DisposedITAT Pune19 Jul 2022AY 2015-16

Bench: Shri Inturi Rama Rao & Shri S.S. Viswanethra Raviआयकर अपीऱ सं. / Ita No.17/Pun/2019 निर्धारण वषा / Assessment Year : 2015-16 M/S. Homeland Construction Pvt. Ltd., 5, 100/4, The Retreat Salisbury Park, Near Poonawala Bunglow, Pune – 411037 Pan: Aabch8510Q .......अऩीऱाथी / Appellant बिधम / V/S. The Asst. Commissioner Of Income Tax, Circle 11, Pune ……प्रत्यथी / Respondent

For Appellant: Shri Vinay ChordiaFor Respondent: Shri Deepak Garg
Section 143(3)Section 23Section 23(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER आयकर अपीऱ सं. / ITA No.17/PUN/2019 निर्धारण वषा / Assessment Year : 2015-16 M/s. Homeland Construction Pvt. Ltd., 5, 100/4, The Retreat Salisbury Park, Near Poonawala Bunglow, Pune – 411037 PAN: AABCH8510Q .......अऩीऱाथी / Appellant बिधम / V/s. The Asst. Commissioner of Income Tax, Circle 11, Pune ……प्रत्यथी / Respondent Assessee by : Shri Vinay Chordia Revenue by : Shri Deepak Garg सुनवाई की तारीख / Date of Hearing : 12-07-2022 घोषणा की तारीख / Date of Pronounceme…

Nilesh Kumar Agrawal, Raipur vs. Income Tax Officer, Ward 4(5), Raipur

In the result, appeal of the assessee is allowed in terms of our aforesaid observations

ITA 116/RPR/2019[2013-14]Status: DisposedITAT Raipur18 Jul 2022AY 2013-14

Bench: Shri Ravish Sood & Shri Arun Khodpiaआयकर अपील सं. / Ita No.116/Rpr/2019 "नधा"रण वष" / Assessment Year : 2013-14 Shri Nilesh Kumar Agrawal, Prop. M/S. Friends Construction, House No.107-108, Opp. Ravi Shankar, University Gate, Amanaka, Raipur (C.G.)-492 010 Pan : Afcpa2198G .......अपीलाथ" / Appellant बनाम / V/S. The Income Tax Officer-4(5), Raipur (C.G.) ……""यथ" / Respondent

For Appellant: Shri R.B Doshi, ARFor Respondent: Shri G. N Singh, DR
Section 143(2)Section 22Section 23(1)Section 23(1)(a)Section 80C

…determined and therein brought to tax under the head “house property”. As is discernible from the assessment order, the A.O by relying on the order of the Hon'ble High Court of Delhi in the case of CIT Vs. Ansal Housing Finance and Leasing Company Ltd. (2013) 354 ITR 180 (Del), had determined the ALV of the flats which were held by the 7 Shri Nilesh Kumar Agrawal Vs. ITO-4(5) assessee as part of the stock-in-trade of its business of a builder and developer, and had brought the same to tax under the head “house property”. On appeal, the CIT(A) had found favour with the view taken by the A.O by drawing support from…

Sai Siddhant Developers, Mumbai vs. DCIT -CC -5(4), Mumbai

In the result , all the appeals of the assessee are allowed

ITA 2193/MUM/2021[2012-13]Status: DisposedITAT Mumbai15 Jul 2022AY 2012-13
Section 143(3)

…ounts as stock in trade representing unsold stock. The ld. AO sought to tax the deemed rental income on this unsold stock of property in view of decision of Hon’ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd reported in 354 ITR 180 (Del) , wherein it was held that the ld. AO was justified in bringing to tax the Annual Lettable Value (ALV) of unsold flats as income from house property. The ld. AO observed that the assessee furnished documents in order to derive the rateable value of the property. The ld. AO however determined the notional rent @ 8% of the value of the proper…

Sai Siddhant Developers, Mumbai vs. DCIT -CC-5(4), Mumbai

In the result , all the appeals of the assessee are allowed

ITA 2192/MUM/2021[2014-15]Status: DisposedITAT Mumbai15 Jul 2022AY 2014-15
Section 143(3)

…ounts as stock in trade representing unsold stock. The ld. AO sought to tax the deemed rental income on this unsold stock of property in view of decision of Hon’ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd reported in 354 ITR 180 (Del) , wherein it was held that the ld. AO was justified in bringing to tax the Annual Lettable Value (ALV) of unsold flats as income from house property. The ld. AO observed that the assessee furnished documents in order to derive the rateable value of the property. The ld. AO however determined the notional rent @ 8% of the value of the proper…

M/S. Sai Siddhi Developers, Mumbai vs. DCIT -CC-5(40, Mumbai

In the result , all the appeals of the assessee are allowed

ITA 2190/MUM/2021[2014-15]Status: DisposedITAT Mumbai15 Jul 2022AY 2014-15
Section 143(3)

…ounts as stock in trade representing unsold stock. The ld. AO sought to tax the deemed rental income on this unsold stock of property in view of decision of Hon’ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd reported in 354 ITR 180 (Del) , wherein it was held that the ld. AO was justified in bringing to tax the Annual Lettable Value (ALV) of unsold flats as income from house property. The ld. AO observed that the assessee furnished documents in order to derive the rateable value of the property. The ld. AO however determined the notional rent @ 8% of the value of the proper…

Shree Sai Consultants, Mumbai vs. DCIT CC-5(4), Mumbai

In the result , all the appeals of the assessee are allowed

ITA 2188/MUM/2021[2015-16]Status: DisposedITAT Mumbai15 Jul 2022AY 2015-16
Section 143(3)

…ounts as stock in trade representing unsold stock. The ld. AO sought to tax the deemed rental income on this unsold stock of property in view of decision of Hon’ble Delhi High Court in the case of CIT vs Ansal Housing Finance & Leasing Company Ltd reported in 354 ITR 180 (Del) , wherein it was held that the ld. AO was justified in bringing to tax the Annual Lettable Value (ALV) of unsold flats as income from house property. The ld. AO observed that the assessee furnished documents in order to derive the rateable value of the property. The ld. AO however determined the notional rent @ 8% of the value of the proper…

Dy CIT Dd-4(2), Mumbai vs. M/S Sheth Developers P. Ltd., Mumbai

In the result, appeal of the Revenue in ITA No

ITA 12/MUM/2021[2017-18]Status: DisposedITAT Mumbai27 Jun 2022AY 2017-18
Section 143(3)Section 23(5)

…s of these flats were duly reflected as business income in the returns. The ld. AO applied the ratio laid down in the decision of the M/s. Sheth Developers Pvt. Ltd., Hon’ble Delhi High Court in the case of Ansal Housing Finance and Leasing Ltd., reported in 354 ITR 180 proceeded to determine the deemed income of rent from unsold flats by adopting value of 8.5% of the construction of the property as the fair rent and worked out the taxable income from house property at Rs.35,79,549/- after granting statutory deduction of 30% under the head ‘income from house property’. This action of the ld. AO was upheld by the…

Dy CIT Dd-4(2), Mumbai vs. M/S Sheth Developers P. Ltd., Mumbai

In the result, appeal of the Revenue in ITA No

ITA 11/MUM/2021[2015-16]Status: DisposedITAT Mumbai27 Jun 2022AY 2015-16
Section 143(3)Section 23(5)

…s of these flats were duly reflected as business income in the returns. The ld. AO applied the ratio laid down in the decision of the M/s. Sheth Developers Pvt. Ltd., Hon’ble Delhi High Court in the case of Ansal Housing Finance and Leasing Ltd., reported in 354 ITR 180 proceeded to determine the deemed income of rent from unsold flats by adopting value of 8.5% of the construction of the property as the fair rent and worked out the taxable income from house property at Rs.35,79,549/- after granting statutory deduction of 30% under the head ‘income from house property’. This action of the ld. AO was upheld by the…

Sheth Developers P. Ltd., Mumbai vs. ACIT Central Ciecle-4(2), Mumbai

In the result, appeal of the Revenue in ITA No

ITA 1954/MUM/2020[2017-18]Status: DisposedITAT Mumbai27 Jun 2022AY 2017-18
Section 143(3)Section 23(5)

…s of these flats were duly reflected as business income in the returns. The ld. AO applied the ratio laid down in the decision of the M/s. Sheth Developers Pvt. Ltd., Hon’ble Delhi High Court in the case of Ansal Housing Finance and Leasing Ltd., reported in 354 ITR 180 proceeded to determine the deemed income of rent from unsold flats by adopting value of 8.5% of the construction of the property as the fair rent and worked out the taxable income from house property at Rs.35,79,549/- after granting statutory deduction of 30% under the head ‘income from house property’. This action of the ld. AO was upheld by the…

M/S Sheth Developers P. Ltd., Mumbai vs. Dy CIT Central Circle- 4(2), Mumbai

In the result, appeal of the Revenue in ITA No

ITA 1953/MUM/2020[2015-16]Status: DisposedITAT Mumbai27 Jun 2022AY 2015-16
Section 143(3)Section 23(5)

…s of these flats were duly reflected as business income in the returns. The ld. AO applied the ratio laid down in the decision of the M/s. Sheth Developers Pvt. Ltd., Hon’ble Delhi High Court in the case of Ansal Housing Finance and Leasing Ltd., reported in 354 ITR 180 proceeded to determine the deemed income of rent from unsold flats by adopting value of 8.5% of the construction of the property as the fair rent and worked out the taxable income from house property at Rs.35,79,549/- after granting statutory deduction of 30% under the head ‘income from house property’. This action of the ld. AO was upheld by the…

Bombay Real Estate Development Co. P. Ltd., Mumbai vs. ITO Ward-1(1)-3, Mumbai

In the result, appeal by the assessee is allowed

ITA 513/MUM/2021[2010-11]Status: DisposedITAT Mumbai14 Jun 2022AY 2010-11

Bench: Shri Pramod Kumar & Shri Sandeep Singh Karhail

For Appellant: Shri K. Gopal a/wFor Respondent: Shri C.T. Mathews, Sr. A.R
Section 115JSection 143Section 143(3)Section 147Section 148Section 148(1)Section 14ASection 250Section 40

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, MUMBAI BEFORE SHRI PRAMOD KUMAR, VICE PRESIDENT AND SHRI SANDEEP SINGH KARHAIL, JUDICIAL MEMBER ITA no.513/Mum./2021 (Assessment Year : 2010–11) Bombay Real Estate Development Co. P. Ltd. ……………. Appellant Norhirwan Mansion, Henry Road Colaba, Mumbai 400 005 PAN – AAACB2092E v/s Income Tax Officer ……………. Respondent Ward–1(1)(3), Mumbai Assessee by : Shri K. Gopal a/w Ms. Neha Paranjpe Revenue by : Shri C.T. Mathews, Sr. A.R. Date of Hearing – 07.04.2022 Date of Order – 14/06/2022 O R D E R PER SANDEEP SINGH KARHAIL, J.M. The present appeal has been filed by…

Pegasus Properties P. Ltd., Pune vs. Dy CIT, CC-2(3), Mumbai

In the result, appeal filed by the assessee is partly allowed

ITA 943/MUM/2021[2015-16]Status: DisposedITAT Mumbai19 May 2022AY 2015-16

Bench: Shri S. Rifaur Rahman, Hon'Ble & Shri Pavan Kumar Gadale, Hon'Ble

For Appellant: Shri Rajan VoraFor Respondent: Shri Dhramveer Singh
Section 153Section 153ASection 153CSection 22Section 23Section 23(4)

…d AO followed the decision of Hon'ble Delhi High Court in case of CIT vs. Ansal Housing & Construction (2016) (389 ITR 373) (Delhi) and CIT vs. Ansal Housing Finance& Leasing Co. Ltd 7 ITA.NO. 943/MUM/2021 (A.Y: 2015-16) Pegasus Properties Pvt. Ltd., (2013) (354 ITR 180) (Delhi) for determining the ALV of the unsold flats/units as per section 23 of the Act. The Ld. AO took the fair value of the rent which can be fetched in that area and considered Rs. 12 per Sq. Ft. Based on the same, the learned AO applied the fair value rent of Rs.12 per sq. ft. to the total saleable area of the unsold flats/ units and thereby…