In my opinion, although the agreement says otherwise, the entire agreement is for the sale of the house and it should be treated as a sale price in your hand. . for amenities, fees to be received. The total rent plus equipment costs received by the appraiser was Rs. 86,25,000 /- of which Rs. 36 lakhs under the equipment agreement in connection with . of the amenities set out in Annex « A » of the Amenities Agreement of 05-06-2006. The amenities listed in Appendix « A » of the Equipment Agreement are set out in: —1. of the amenities listed in Appendix A of the Licensing Agreement, the AO asked the registrant to explain why income under the Equipment Agreement cannot be taxed below the income of another`s head. . Treatment of Rs.
« gross equipment income ». 1,03,63,284/-, which were inextricably linked and appeared on the basis of a rental agreement, as income from the ownership of a house and further deceived by the. the equipment contract as well as the leave and license agreement, two agreements dated 25-01-2008, which were signed by the appraiser with Infinity Retail Limited (CROMA) in connection with the lease of. The evaluator stated that the amenities provided under the appraiser`s Vacuum equipment agreement were related to the Ownership of link Square Mall, Bandra(W), leased to CROMA by the appraiser. . License basis to the concerns of Centrum Group. In parallel with this agreement, the evaluator also entered into a separate agreement for amenities. The appraiser treated the entire receipt as rent and offered the income. Observation:— »In accordance with established principles, in particular the principles set out in paragraph 5, the amenities agreement is ancillary to the rental of commercial buildings and like none.
Order u/s. 143 (3) of the Income Tax Act 1961.2. The complaint and the appraiser`s income relate to the treatment of rent from the rental of buildings and equipment, whether it is. . under two agreements concluded in February 2008. The first of the two agreements is a deed of lease and the second is described as a convenience agreement. The company had leased an area…, and it is not disputed by the company that there is a clause of similar importance in the equipment agreement. Clause 2.2 of the rental notice provides as follows: »2.2 This loss, the. Clause of the agreement on amenities. Both agreements provided for payment at a lower rate for the first 33 months and at a slightly higher rate for the following 27 months. Clause 4 of the rental notice.
. the case. Ld. A.R. claimed that the appraiser had entered into two contracts with the tenants: (i) Leave and license agreement: dated 07.08.2012; and (ii) Equipment Contract: dated. 07.08.2012. The ld. A.R. argued that the lower authorities erred on the amount received by the appraiser instead of the amenities agreement, under the heading Other. India Ltd. (hereinafter referred to as Licensee) at a royalty of Rs.5,63,500/-p.m.
Apart from that, the evaluating part is according to a separate commodity agreement of 07.08.2012, which has been concluded. If the purchase is made through a registered deed of sale that includes the commodity agreement in the total cost and the cost is reported as 70 lakhs, then the capital gains would be like what you said, that is, Rs. 1 lakh only, but if this were not included in the deed, then the capital gains would be 16 lakhs. For you, the tax impact is through the capital gain, a separate agreement does not change the scene. . Rental contract and equipment contract dated 01.02.2003 and 01.02.2003 respectively (copies of the agreements are attached for reference). .