Archive for January 2017

Consumer court rules completion certificate cannot be substituted

The consumer court has sentenced Sajid Ismail, proprietor of Allied Constructions in Kondhwa Khurd, to pay Rs 10,000 fine within a fortnight for not fully complying with its order of February 24, 2011.

Consumer court rules completion certificate cannot be substitutedPUNE: The district consumer court has ruled that an occupancy certificate obtained without the consent of the flat owner cannot be substituted for a completion certificate in relation to a housing project.

The consumer court has sentenced Sajid Ismail, proprietor of Allied Constructions in Kondhwa Khurd, to pay Rs 10,000 fine within a fortnight for not fully complying with its order of February 24, 2011. The order required Ismail to hand over a completion certificate to the complainant, Renu Singh, owner of a flat in Allied Heights, Salunkhe Vihar Road.

“In case of failure to pay fine, Ismail will have to undergo a one-month simple imprisonment,” the bench of consumer court president V P Utpat and member O G Patil said in a ruling on Wednesday.

Singh had initiated an execution proceeding against the builder under Section 27 of the Consumer Protection Act. The same empowers the consumer court to try and sentence a person found guilty of not complying with its order.

Lawyer Laxman Jadhav, who represented Ismail, said: “We are in the process of complying with the consumer court’s latest order and have readied a demand draft of Rs 10,000 which will be submitted to the court on January 30.”

The builder had produced on record an occupancy certificate issued by Pune Municipal Corporation while arguing, among other things, that he could not obtain a completion certificate because the complainant made illegal changes in the flat.

The complainant, however, pointed out that completion certificate and occupancy certificate were two distinct documents and that, the flat owner’s consent was not obtained for the occupancy certificate produced on record.

The bench observed, “This forum had directed the accused/opposite party (builder) to handover completion certificate in respect of building. However, the builder has not produced any record to show that he has complied with the forum’s order.”

“It is also significant to note that the complainant (flat-holder) had never applied for an occupancy certificate. Hence, legitimate inference can be drawn that the alleged occupancy certificate is obtained by the builder without consent of flat holder and it cannot be substituted for completion certificate,” the bench said.

DISCLAIMER

The news and data posted here is from various sources, published and electronically available. We have taken all possible care to verify and crosscheck the accuracy of the same. However, despite due diligence, sources may contain occasional errors.www.noidapropertydealers.co.in will not be responsible for any errors in such an instance.

Housing sector biggest beneficiary of demonetisation: Venkaiah Naidu

Taking a jibe on commentators who cast doubts on benefits to government from demonetisation, Naidu said this will lead to more people coming under the tax net.

Housing sector biggest beneficiary of demonetisation: Venkaiah NaiduVISAKHAPATNAM: Housing sector is the biggest beneficiary of demonetisation as interest rates have fallen, Union Minister M Venkaiah Naidu on Friday said and expressed hope that Finance Minister will announce more incentives for the sector in the Budget on February 1.

Taking a jibe on commentators who cast doubts on benefits to government from demonetisation as Rs 15 lakh crore have come back into the system, Naidu said this will lead to more people coming under the tax net.

“…every note has come back to the bank and note is followed by an address…whether it is white or black that will be known after its scrutiny,” the Minister for Urban Development, Housing and Urban Poverty Alleviation said at an investors’ meet here.

If tax net widens, the interest rates will come down, he added.

“I am happy because I am one of the largest beneficiary of this (demonetisation) because I head the housing ministry. My housing interest rates have come down considerable.

“I hope my friend Finance Minister Arun jaitley will do some more in the coming budget,” he said and added that boom in housing sector means pick up in sectors like cement, steel, and construction, leading increase in employment.

Jaitley is scheduled to present the Union Budget for 2017-18 financial year on February 1.

The government on November 8 last year had demonetised Rs 500/1000 notes, which constituted about 87 per cent of the currency in circulation.

With banks flushed with cash, the interest rates have fallen by up to one per cent.

DISCLAIMER

The news and data posted here is from various sources, published and electronically available. We have taken all possible care to verify and crosscheck the accuracy of the same. However, despite due diligence, sources may contain occasional errors.www.noidapropertydealers.co.in will not be responsible for any errors in such an instance.

I-T sleuths take a shine to jewellers and builders

A New Delhi-based real estate developer who put Rs 25 crore into his account on December 30 has got a formal query from the income-tax department.

I-T sleuths take a shine to jewellers and buildersMUMBAI: After demonetisation, here comes the black money crackdown. A Mumbai-based jeweller who deposited `. 100 crore in his bank account in December was summoned by the income-tax department recently. He was asked to submit income-tax permanent account number (PAN) details of all who bought gold or jewellery from him since November 8, when demonetisation was announced.A New Delhi-based real estate developer who put Rs 25 crore into his account on December 30 has got a formal query from the income-tax department. The developer said the money was “cash on hand“ as reflected in his books of accounts. Tax officials are planning to scrutinise his books of accounts for the past few years.

Real estate developers, jewellers and sellers of luxury goods have come under the I-T department’s scanner as part of the exercise to unearth black money in the wake of demonetisation.Many are currently being summoned and are likely to be slapped with tax notices in the coming months, said tax officials and consultants aware of the matter.

The government will also pursue those who may have sought to launder money this year itself, rather than the two-three years it usually takes for the income-tax department to send notices.

A three-member committee comprising top income-tax officials has been formed to amend the rules so that notices for assessment year 2016-17 can be served in 2017 itself, said one of the people cited above.

“The focus is only on those accounts where Rs 1 crore or more has been deposited,“ the person said.“There are around 5,000 such cases, of which at least half would come in the tax net.“ Developers have allegedly sought to pass off black money as cash on hand. “Most real estate developers have large cash on hand but mainly this money is seldom with them as they tend to use it for various reasons,“ said a tax expert. “Many developers deposited large sums of money in banks and claimed this was cash on hand -in reality this was black money.“ The tax department is asking developers to show them their books and tally each cash expense for earlier years.

The key is speedy analysis of masses of data that has been collected in the past few months. “The income-tax department’s need of the hour is a result-oriented analysis of the large volume of demonetisation-related data collected from banks and financial institutions and matching with the taxpayer records so as to red-flag the tax evaders selectively,“ said Rakesh Nangia, managing partner, Nangia and Co, a tax advisory.“We can expect a legislative changedepartment instruction to deal with such cases in an effective and timely manner, ensuring that the impact is not diluted.“

Many jewellers are said to have split up one invoice into multiple ones as PAN details of buyers aren’t needed if a sale is below Rs 2 lakh. The tax department is see king details so that it can put together the pieces, according to the people cited above.

“The tax department had started raising queries through their online platform and even in some cases where huge cash has been deposited, summons are being sent by director of income tax, intelligence and criminal investigation,“ said Paras Savla, partner, KPB & Associates, a tax consultancy. “We see tax notices may start coming in the next couple of months to those who have deposited large sums.“

While the spotlight is mostly on real estate developers and jewellers, transactions by luxury goods sellers and some doctors are also being examined. One of them is a south Mumbai luxury watch seller who deposited Rs 16 crore in his bank account in mid-December. Another is a Chennai plastic surgeon who deposited Rs 6 crore. The doctor, who’s been sent a query, had been disclosing Rs 2.5 lakh as annual income for the last 15 years.

“While many queries have been raised by tax department, focus will be on the big fish,“ according to one of the persons cited earlier.

“In the case of the doctor, the tax department now knows the real income and in future no tax evasion could be done,“ said a tax expert advising the physician. “But as of now the focus of tax department should be on people who may have evaded larger sums of money.“

 

DISCLAIMER

The news and data posted here is from various sources, published and electronically available. We have taken all possible care to verify and crosscheck the accuracy of the same. However, despite due diligence, sources may contain occasional errors.www.noidapropertydealers.co.in will not be responsible for any errors in such an instance.

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