New Delhi, Nov. 7 -- A developer's tax reporting can create complications for property owners when the amount reported for tax deduction at source does not match the money actually received during the year. A recent Income Tax Appellate Tribunal (ITAT) ruling has highlighted why such discrepancies need to be examined before treating the entire reported amount as taxable income.

The Surat bench of the ITAT has deleted a Rs.2.45 crore capital gains addition against a landowner after finding that he had received only Rs.25 lakh from a property developer during the relevant financial year, even though Rs.2.86 crore was reflected against his name in Form 26AS.

In Hiteshkumar Mohanlal Desai vs Assessment Unit, Income Tax Department (ITA No. 9...