DHUKHI SAH MEMORIAL FOUNDATION,DEOGHAR V. ITO, DUMKA

ITA 297/RAN/2025

AI Insights

The case involves the Dhukhi Sah Memorial Foundation, which appealed against the order of the Addl/JCIT(A)-5, Delhi, for the assessment year 2023-2024. The primary contention was regarding the intimation under section 143(1) of the Income Tax Act, 1961, which treated all receipts of the foundation as income and disallowed any expenditures. The foundation argued that if their exemption was denied, the income should be assessed as business income, allowing related expenditures. The tribunal agreed with this perspective, leading to the quashing of the intimation.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 788083 (ITAT-RANCHI)
• Duration Of Justice: 2 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-11-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: misc
• Appeal Filed On: 28-08-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KHUBCHANDT PANDYA
• Keywords: Business income

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “SMC BENCH”, RANCHI BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER (THROUGH HYBRID MODE) आयकर अपील सं./ITA No.297/RAN/2025 (निर्धारण वर्ा / Assessment Year :2023-2024) Dhukhi Sah Memorial Foundation, Sandeepani School, Dukhi Sah road, Near Jhousagarhi, Dhukhi Sah Lane, Deoghar-814112, Jharkhand. Vs. ITO Ward-3(3), Dumka स्थायी लेखा सं./PAN No. : AADAD 1606 K (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) निर्ाारिती की ओर से /Assessee by : None राजस्व की ओर से /Revenue by : Shri Khubchand T Pandya, Sr. DR सुनवाई की तारीख / Date of Hearing : 25/11/2025 घोषणा की तारीख/Date of Pronouncement : 25/11/2025 आदेश / O R D E R This is an appeal filed by the assessee against the order of the ld. Addl/JCIT(A)-5, Delhi, dated 30.06.2025 for the assessment year 2023- 2024. 2. None represented on behalf of the assessee. Shri Khubchand T Pandya, Sr. DR appeared on behalf of the revenue. 3. A perusal of intimation u/s.143(1) of the Act also shows that the CPC has treated the entire receipts of the assessee as its income. The expenditures have not been allowed. This is not permissible. If the exemption is being denied then obviously the income of the assessee would have to be assessed as business income and the expenditures in relation to such business income is liable to be allowed. This being so, as Printed from counselvise.com ITA No.297/Ran/2025 2 the adjustments are made in the intimation is not falling within the category of the adjustments permissible under the provisions of Section143(1) of the Act, the intimation found to be invalid and consequently the same stands quashed. 4. In the result, appeal of the assessee is allowed. Order dictated and pronounced in the open court on 25/11/2025. Sd/- (GEORGE MATHAN) न्यायिक सदस्य / JUDICIAL MEMBER रधाँची Ranchi; दिनांक Dated 25/11/2025 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनिलिपि अग्रेपर्ि/Copy of the Order forwarded to : आदेशधिुसधर/ BY ORDER, (Senior Private Secretary) आयकर अिीिीय अधर्करण, रधाँची / ITAT, Ranchi 1. अपीलार्थी / The Appellant- . 2. प्रत्यर्थी / The Respondent- 3. आयकि आयुक्त(अपील) / The CIT(A), 4. आयकर आयुक्त / CIT 5. निभागीय प्रनतनिनर्, आयकि अपीलीय अनर्किण, रधाँची / DR, ITAT, Ranchi 6. गार्ड फाईल / Guard file. सत्यापपत प्रतत //True Copy// Printed from counselvise.com "