- (1.) Section 80IB(10) of the Income Tax Act is the relevant provision in this case. It requires that (1) there should be a housing project; (2) it should be approved before the specified date; and (3) the Assessee (undertaking) should be engaged in developing and building the project.
(2.) In the relevant assessment order i.e. 2004-05 the respondent-assessee pursuant to an agreement between him and the owner of the land, was engaged in developing and building such project.
(3.) There is no finding by the department that the agreement in question was for any reason suspect as being a sham transaction.;