Saktijit Dey, Judicial Member - These are set of six appeals of the same assessee. Appeals for the assessment years 2004-05, 2005-06, 2007-08 and 2008-09 are by the assessee whereas there are cross appeals for assessment year 2006-07. Since facts are similar and issues are common, all these appeals are clubbed and heard together, therefore, a common order is passed for the sake of convenience.

2. First we will take up assessee's appeal for the asst. years 2004-05, 2005-06, 2006-07 and 2008-09. We will deal with facts as taken from ITA No. 717/Hyd/12 pertaining to the assessment year 2008-09 since the CIT(A) has followed his reasoning for this year in the appeal for the other assessment years.

3. Briefly the facts are, the assessee is an AOP established under the AP Housing Board Act, 1956. The assessee is engaged in the activity of purchase and sale of land, construction of houses and sale of the same and deriving rent from house property. For the assessment year under dispute, it filed return of income 30/09/2008 declaring loss of Rs. 63,15,98,329/-. The return filed by the assessee was originally processed u/s 143(1) of the IT Act. Subsequently, the assessee's case was selecte