Allowing the appeal of the assessee the Tribunal held that , Assessee has the option to claim as self occupied property which is more beneficial to him. Following the ratio in Balmukund Acharya v DCIT ( 2009) 310 ITR 310 ( Bom) (HC) the Tribunal held that AO should not take advantage of assessee’s ignorance of law . On facts though the option was exercised while filing the return the assessee changed the option in appellate proceedings before CIT (A ), which was dismissed by the CIT(A). Tribunal set aside the order of CIT(A) and directed the AO allow the exemption as per the option of the assessee. ( ITA NO .2552 /Mum/2010 ‘A’ dt. 21-09-2011) (AY. 2004 -05)
Asha Bhosle v.ITO (Mum) (Trib)
S. 23 : Income from house property – Annual value – Assessee has the option to claim as self occupied property which is more beneficial – Though the option was exercised while filing the return the assessee which can changed in appellate proceedings before CIT (A ) if it is beneficial to assessee. [ S.22 ]