Valmiki Sa Menezes JUDGMENT
Valmiki Sa Menezes, J.
1. By this Writ Petition under Article 226 of the Constitution of India, the Petitioner seeks issuance of a writ of Mandamus to direct the Respondent-Union of India to extend the date of availing deductions by assessees under section 80-IBA of the Income Tax Act, 1961 ('the Act) from 31.03.2022 to 31.03.2023, by taking necessary executive legislative steps as may be required. The Petitioner further seeks issuance of a writ of Mandamus to direct the Respondent to extend the time period for completion of construction projects from five years to seven year under section 90-IBA(2) (b) of the Act.
2. It is the Petitioner's case is that the provisions of section 80-IBA of the Act were enacted vide Finance Act, 2016, to provide a tax holiday to the Real Estate Developers, who the petitioner claims to be representing, and such tax holiday was granted to Real Estate Developers-assessees for constructing affordable housing projects that fulfill the conditions contained in the said provisions of law. It is the Petitioner's case that the said provision was amended from time to time and mandates that, to avail tax holiday, developers are requested to complete the construction of a housing project within five years from receipt of building approvals and, such project should have been approved on or before 31.03.2022.
3. It is further the Petitioner's case that the provision of section 80-IAC of the Act was also enacted under the Finance Act, 2016 providing incentives to start-up companies for availing deductions provided they were set-up on or after 01.10.2019 and had commenced operations. It is the Petitioner's case that under clause 22 of the Finance Bill, 2022, for the purposes of section 80-IAC, the date of incorporation for start-up companies was extended from 31.03.2022 to 31.03.2023 for availing deductions under those provisions of the Act. Similarly, the Petitioner claims that under clause 26 of the Finance Bill, 2022, the last date for availing deductions by manufacturing and production companies under section 115-BAB of the Act was extended from 31.03.2023 to 31.03.2024, subject to the concerned company being set up on or after 01.10.2019 and having commenced its business operations.
4. The Petitioner claims that the Union of India has failed to grant similar extensions in timelines as were granted in the above cases, in the timelines incorporated under section 80-IBA, as they stood in the previous year, beyond 31.03.2022; thus depriving the members of the Petitioner, parity with similarly situated classes of persons covered by the provisions of section 80-IAC of the Act, 1961. In other words, the Petitioner's members claim parity with persons given the benefit of the provisions of section 80-IAC of the Act, and claim that non-extension of the timelines of eligibility beyond 31.03.2022, operates as a discrimination against them.
It is further the Petitioner's case that recognizing the impact that the Covid-19 Pandemic had on the real estate industry as a whole, the Ministry of Home Affairs (MHA), Government of India had issued Office Memorandum dated 13.05.2020 to all the Real Estate Regulatory Authorities of t........