Soniya Binayakiya Memorial Charitable Trust, CHENNAI V. ITO Non Corporate Circle 9(5), CHENNAI

ITA 1060/CHNY/2019

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 7411 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-07-2019
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 15-04-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: BALINA SURESH BABU
• Keywords: Charitable institution; Maximum Marginal Rate; Set aside

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH: CHENNAI , .. , BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI DUVVURU R.L.REDDY, JUDICIAL MEMBER ./ ITA NO.1060/CHNY/2019 ! ! /ASSESSMENT YEAR: 2014-15 M/S.SONIYA BINAYAKIYA MEMORIAL- CHARITABLE TRUST, C/S.SHRI S. RAMESH KUMAR, ADVOCATE, NO.72, JERMIAH ROAD, VEPERY, CHENNAI-600 007. VS. THE INCOME TAX OFFICER, NON-CORPORATE CIRCLE-9(5), CHENNAI. [PAN: AANTS 4137 K ] ( $ /APPELLANT) ( %&$ /RESPONDENT) $ ' / APPELLANT BY : NONE %&$ ' /RESPONDENT BY : MR.BALINA SURESH BABU, JCIT ' /DATE OF HEARING : 17.07.2019 ' /DATE OF PRONOUNCEMENT : 19.07.2019 / O R D E R PER INTURI RAMA RAO, ACCOUNTANT MEMBER : THIS IS AN APPEAL FILED BY THE ASSESSEE TRUST DIRE CTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-1 7, CHENNAI, IN ITA NO.115/2016-17 DATED 29.01.2019 FOR THE AY 2014-15. 2. THE ASSESSEE IS A CHARITABLE TRUST RAISED THE FOLL OWING GROUNDS OF APPEAL: ITA NO.1060/CHNY/2019 :- 2 -: 1. THE ORDER OF THE LEARNED COMMISSIONER OF INCOME- TAX (APPEALS)-17 IS WRONG, ILLEGAL AND OPPOSED TO FACTS OF THE INSTANT CASE. 2. THE LEARNED C1T(A)-17 ERRED IN NOT ALLOWING BAS IC EXEMPTION. THE TRUST IS NOT REGISTERED IN SEC. 12(A). THE TRUST IS ONLY A PUBLI C CHARITABLE TRUST AND NOT A BENEFICIARY TRUST. 3. THE APPELLANT SUBMITS THAT THE LEARNED C1T APPEAL OUGHT TO HAVE CONSIDERED THE FACTS THAT THE TRUST DEED IS REGISTE RED WITH THE OBJECTS TO SERVICE HUMANITARIAN AND OTHER LIVING OBJECT. 4. THEREFORE THE APPELLANT SUBMITS THAT THE ORDE R PASSED BY THE LEARNED C1T APPEAL MAY BE SET ASIDE AND CONSEQUENTIAL RELIEF MA Y BE GRANTED AS THIS HON'BLE TRIBUNAL DEEM FIT AND NECESSARY AND THUS RENDER JUS TICE. 3. BRIEFLY THE FACTS OF THE CASE ARE THAT THE ASSESSE E IS A CHARITABLE TRUST. THE RETURN OF INCOME FOR THE AY 2014-15 WAS FILED ON 26.02.2015. THE SAID RETURN OF INCOME WAS PROCESSED U/S.143(1) OF THE ACT VIDE INTIMATION DATED 14.03.2016. WHEREIN THE TAX LIABI LITY WAS COMPUTED IN THE STATUSE OF AOP AT A MAXIMUM MARGINAL RATE OF TA X. HOWEVER, THE BASIC EXEMPTION LIMIT WAS NOT GRANTED TO THE ASSESS EE TRUST. 4. BEING AGGRIEVED AN APPEAL WAS PREFERRED BEFORE THE LD.CIT(A) WHO VIDE IMPUGNED ORDER CONFIRMED THE INTIMATION. 5. BEING AGGRIEVED THE ASSESSEE IS IN APPEAL BEFORE U S IN THE PRESENT APPEAL. ON THE DATE OF HEARING NONE APPEARED ON BEHALF OF THE ASSESSEE TRUST AND WE HEARD THE LD.SR.DR. THE ISSUE WHETHER THE ASSESSEE TRUST IS LIABLE TO TAX AT MAXIMUM MARGINAL RATE OF TAX IS NO T IN DISPUTE. IN CASE, WHERE AN ASSESSEE IS LIABLE TO TAX AT MAXIMUM MARGI NAL RATE OF TAX UNDER THE PROVISIONS OF SEC.167B OF THE ACT, THE PROVISIO NS OF THIS SECTION DOES NOT PROVIDE ANY ALLOWANCE OF ANY BASIC EXEMPTION LI MIT. HENCE, WE DO NOT ITA NO.1060/CHNY/2019 :- 3 -: FIND ANY MERIT IN THE PRESENT APPEAL FILED BY THE A SSESSEE. CONSEQUENTLY, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE I S DISMISSED. ORDER PRONOUNCED ON THE 19 TH DAY OF JULY, 2019 IN CHENNAI. SD/- SD/- ( 0 1 . . 4 ) ( DUVVURU R.L.REDDY ) 6 /JUDICIAL MEMBER ( ) ( INTURI RAMA RAO ) 6 /ACCOUNTANT MEMBER /CHENNAI, 7 /DATED: 19 TH JULY, 2019. TLN ' % 89 :9 /COPY TO: 1. $ /APPELLANT 4. ; /CIT 2. %&$ /RESPONDENT 5. 9 % /DR 3. ; ( ) /CIT(A) 6. ! /GF