Commissioner of Income Tax (Appeals), has passed
the order u/s 250 by applying Section 43CA to advances received against plot
allotment/agreements entered before ... thus the conditions
mentioned in the sub section 3 and 4 of the section 43CA are not satisfied in
5
Shubhlaxmi Land Developers
computing business profits under the normal computation
framework.
30. Both section 44AD and section 43CA are deeming provisions
operating in the field of computation. When ... business profits stand statutorily determined
under section 44AD on the adopted turnover.
32. In short, section 43CA can influence the base (turnover) for
section 44AD
consideration:
(2) The provisions of sub-section (2) ant: sub-section (3) of
section 5UC shall, so far as may be, apply in relation ... transfer of the asset.
7.5 As per sub-section (3) and (4) of section 43CA , the benefit of prior
agreement is granted if the consideration
section 43CA, section 50C and section
56
16 .1 Before amendment by the Act, for computing income from
business profits (section 43CA), capital gains (section ... applicability thereon. The language of provisions of Section 50C
are exactly pari materia with provisions of Section 43CA of the
Act. Hence, though the aforesaid
therefore requested to kindly hold that provisions of
sub- section 3 of section 43CA applies to the case of the assessee and
delete the addition ... cash in the earlier year taking shelter of
sub-section (4) of Section 43CA of the Act. The action of the
CIT(A) is squarely
justified
in view of the insertion of proviso to sub sec. 1 to sec. 43CA of the Act by the
Finance ... section (1) of section 50 of the Act to section 48 of the Act
i.e. mode of computation of capital gains. In fact section
consideration:
(2) The provisions of sub-section (2) and sub-section (3) of section 50C shall, so
far as may be, apply in relation ... agreement for transfer of the asset.
As per sub-section (3) and (4) of section 43CA , the benefit of prior
agreement is granted
such transfer.
(2) The provisions of sub-section (2) and sub-section (3) of section 50C shall,
so far as may be, apply in relation ... From the above, we note that in compliance with sub- section 4 of section
43CA , the assessee has duly received sums through bank and allotment
well as in facts in not accepting that the
provisions of Section 43CA of the Income Tax Act, 1961 are not applicable
Page ... well as in facts in invoking provisions of
Section 43CA of the Income Tax Act, 1961 in respect of agreements entered
into on or after
being that section 50C is applicable in case of transfer of capital asset being land or
building or both and section 43CA ... section (refer table extracted in the
earlier part of this order). Accordingly we hold that in assessee's case no addition under section
43CA
