Dear Friends,
An undertaking engaged in developing and building Housing Projects shall be eligible to claim deduction under Section 80-IB of Income Tax Act 1961 subject to certain conditions. One of the conditions for claiming deduction is:
Condition : The built-up area of each residential unit should be subject to the following maximum limit -
I) Within the cities of Delhi and Mumbai: 1000 sq. ft.
II) Within 25 Kilometres from the local limits of Delhi & Mumbai: 1000 sq. ft.
III) At any other place: 1500 sq ft.
My query is related to above condition:
i. If an undertaking is developing housing project in NH-58, (situated within 25 Kilometres from the local limits of Delhi but within municipal limits of Other City). In which clause it is covered of Condition ?
ii. If area of some of the residential units exceeds the abovesaid limit of 1000/1500 sq ft, t is there any provision for proportionate deduction?
CAclubindia
