ITO, Calicut V. Society of presentation Sisters, Calicut

ITA 475/COCH/2010

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 58320 (ITAT-COCHIN)
• Duration Of Justice: 1 year(s) 6 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-02-2012
• Appeal Filed By: Department
• Bench Allotted: DB
• Assessment Year: 2006-2007
• Appeal Filed On: 04-08-2010
• Court: TRIBUNAL
• Department Lawyers: VIJAYAPRABHA
• Assessee Lawyers: L KURIAKOSE
• Keywords: Charitable institution

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN BEFORE: SHRI N.R.S.GANESAN, JUDICIAL MEMBER AND SHRI B.R. BASKARAN, ACCOUNTANT MEMBER ITA NOS. 471 - 475/COCH/2010 ASSESSMENT YEARS : 2000-01, 2001-02, 2004-05, 200 5-06 & 2006-07 I.T.O., WARD-1(4), CALICUT SOCIETY OF PRESENTATION SISTERS, PRESENTATION CONVENT, CHEVAYOOR, CALICUT-17. [PAN: AAAAS 3077L] (APPELLANT) VS. (RESPONDENT) APPELLANT BY: SMT. VIJAYAPRABHA, JR. DR RESPONDENT BY: SHRI L. KURIAKOSE, ADVOCATE DATE OF HEARING: 16/02/2012 DATE OF PRONOUNCEMENT: 29 /02/2012 ORDER PER SHRI B.R.BASKARAN, ACCOUNTANT MEMBER:- THESE APPEALS OF THE REVENUE ARE DIRECTED AGAIN ST THE COMMON ORDER DATED 26-05-2010 PASSED BY LD COMMISSIONER OF INCOME-TAX( A)-I, CALICUT AND THEY PERTAIN TO THE ASSESSMENT YEARS 2000-01, 2001-02, 2004-05, 200 5-06 & 2006-07. SINCE THE ISSUE URGED IN THESE APPEALS ARE IDENTICAL IN NATURE, FOR THE SAKE OF CONVENIENCE, THESE APPEALS WERE HEARD TOGETHER AND ARE DISPOSED OF BY THIS COMMON ORDER. 2. THE ONLY ISSUE THAT ARISES FOR CONSIDERATION IS ABOUT THE ELIGIBILITY OF ASSESSEE TO CLAIM EXEMPTION U/S. 11 OF THE INCOME-TAX ACT. 3. SMT. VIJAYAPRABHA, THE LD. DR SUBMITTED THAT THE ASSESSING OFFICER REJECTED THE CLAIM OF EXEMPTION U/S. 11 OF THE ACT ON THE GROUND THAT THE OBJECT OF THE TRUST WAS CHARITABLE AND RELIGIOUS IN NATURE. ACCORDING TO T HE LD. DR, THE ASSESSEE-TRUST CANNOT HAVE BOTH OBJECTS. IT HAS TO CONFINE EITHER TO CHA RITABLE ACTIVITY OR RELIGIOUS ACTIVITY. THE TRUST HAVING MIXED OBJECTS OF RELIGIOUS AND CHA RITABLE NATURE CANNOT BE TREATED AS CHARITABLE TRUST FOR ALLOWING EXEMPTION U/S. 11 OF THE ACT. REFERRING TO THE ORDER OF THIS I.T.A. NOS. 471- 475 /COCH/2010 2 TRIBUNAL, THE LD. DR SUBMITTED THAT THE REVENUE HAS ALREADY FILED THE APPEAL BEFORE THE HIGH COURT, THEREFORE, THE LD. CIT(A) IS NOT CORREC T IN PLACING RELIANCE ON THE ORDER OF THIS TRIBUNAL. 4. ON THE CONTRARY, SHRI L.KURIAKOSE, THE LD. AR SU BMITTED THAT THE LD. CIT(A) HAS ALLOWED THE CLAIM OF THE ASSESSEE BASED ON THE ORDE R OF THIS TRIBUNAL IN THE ASSESSEES OWN CASE IN I.T.A. NO. 457/COCH/2007 DATED 22-09-20 09 FOR THE ASSESSMENT YEAR 2003- 04. THIS TRIBUNAL HAS FOUND THAT THE ASSESSEE IS E LIGIBLE FOR EXEMPTION EVEN THOUGH THE OBJECT IS BOTH CHARITABLE AND RELIGIOUS IN NATURE. THE LD. AR FURTHER SUBMITTED THAT THE HONBLE JURISDICTIONAL KERALA HIGH COURT HAS ALREAD Y CONFIRMED THE VIEW OF THIS TRIBUNAL ON THIS MATTER. 5. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS ON EITH ER SIDE AND HAVE ALSO GONE THROUGH THE MATERIAL PLACED BEFORE US. ADMITTEDLY, IN THE ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2003-04, THIS TRIBUNAL EXAMINED THE ISSUE AND FOUND THAT THE ASSESSEE IS ELIGIBLE FOR EXEMPTION U/S. 11 EVEN THOUGH THE O BJECT WAS BOTH RELIGIOUS AND CHARITABLE IN NATURE. ON IDENTICAL SET OF FACTS, T HIS TRIBUNAL HAS, AS IN THE CASE OF OTHER ASSESSES ALSO FOUND THAT THE ASSESSEE IS ELIGIBLE F OR EXEMPTION U/S. 11 EVEN THOUGH THEIR OBJECTS WERE BOTH RELIGIOUS AND CHARITABLE IN NATURE. IN FACT THE HIGH COURT HAS ALSO CONFIRMED THE ORDER OF THIS TRIBUNAL. THEREFO RE, THIS TRIBUNAL IS OF THE OPINION THAT THE LD. CIT(A) HAS RIGHTLY FOLLOWED THE ORDER OF TH IS TRIBUNAL WHILE DIRECTING THE ASSESSING OFFICER TO GRANT EXEMPTION U/S. 11 OF THE ACT. WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF THE LOWER AUTHORITY. THE SAME IS CONF IRMED. 6. IN THE RESULT, ALL THE APPEALS OF THE REVENUE AR E DISMISSED. PRONOUNCED ON 29-02-2012 SD/- SD/- (N.R.S.GANESAN) (BR BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER ERNAKULAM DATED: 29 TH FEBRUARY, 2012 GJ I.T.A. NOS. 471- 475 /COCH/2010 3 COPY TO 1 SOCIETY OF PRESENTATION SISTERS, PRESENTATION CON VENT, CHEVAYOOR, CALICUT- 17. 2 THE INCOME-TAX OFFICER, WARD-1(2), CALICUT 3 THE COMMISSIONER OF INCOME-TAX(APPEALS)-I, CALICU T. 4 THE COMMISSIONER OF INCOME-TAX, CALICUT. 5. THE DR, ITAT, COCHIN BENCH. 6 GUARD FILE. BY ORDER A SSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH