Acit, Circle-25(2), New Delhi vs Tupelo Builders Pvt. Ltd, New Delhi on 2 December, 2022
Further Hon'ble Bombay High Court
in Pr. CIT Vs. City Centre Mall Nashik (P) Ltd. (2020) 121
taxmann.com 87/424 ITR 85 has also held that when main
objects of assessee, over and above real estate development
as main clause has renting of property therein and assessee
is also providing certain other services as mentioned in
Annexure B of leave and license agreement, income derived
is to be taxed as Business Income and not income from house
property. Therefore, looking at the facts of the case and
the decision of Hon'ble Supreme Court and Hon'ble Bombay
High Court, we hold that income from property earned by
the assessee amounting to Rs.3,38,46,924/- is chargeable to
tax as business income and not as income from house
property. Accordingly, we direct the Ld. Assessing Officer
to tax the above income under the head of business income.
Accordingly, ground nos. 1 and 2 of the appeal are allowed."