ITO, Wd.-4, Ahmednagar V. Shri Tilok Jain dnyan Prasarak Mandal, Ahmednagar

ITA 492/PUN/2010

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 56619 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 8 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-12-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 21-12-2011
• Assessment Year: 2005-2006
• Appeal Filed On: 06-04-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASHOK GA NDHI
• Assessee Lawyers: S K AMBASTHA
• Keywords: Charitable institution
• Section: 144; 142(1); 80G; 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A, PUNE BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER AND SHRI G.S. PANNU, ACCOUNTANT MEMBER I.T.A. NO. 492/PN/2010 : A.Y. 2005-06 I.T.O. WARD 4, AHMEDNAGAR APPELLANT VS. SHRI TILOK JAIN DNYAN PRASARAK MANDAL AT PATHARDI DIST. AHMEDNAGAR PAN AADTS 6495 G RESPONDENT APPELLANT BY: SHRI ASHOK GANDHI RESPONDENT BY: SHRI S.K. AMBASTHA DATE OF HEARING: 21-12-2011 DATE OF PRONOUNCEMENT: ___ -12-2011 ORDER PER SHAILENDRA KUMAR YADAV, JM THIS APPEAL BY THE DEPARTMENT IS DIRECTED AGAINST T HE ORDERS OF THE CIT-(A) I PUNE DATED 21-12-2009 FOR A .Y. 2005-06 DELETING THE ADDITION MADE BY THE ASSESSING OFFICER IN RESPECT OF CASH DEPOSIT OF RS. 29,35,208 /- IN ASSESSEES SAVINGS ACCOUNT. 2. THE ASSESSMENT PROCEEDING WAS INITIATED BY THE ASSESSING OFFICER ON RECEIPT OF INFORMATION IN RESP ECT OF CASH DEPOSIT OF RS. 29,35,208/- IN SAVING BANK ACCO UNT THROUGH ANNUAL INFORMATION REPORT FURNISHED U/S 285 BA BY THE BANK. THE ASSESSING OFFICER ACCORDINGLY TRE ATED THE ENTIRE DEPOSIT AS UNEXPLAINED AS THE NOTICE ISSUED U/S 142(1) REMAINED UNCOMPLIED. IN VIEW OF THE ABOVE, THE 2 ITA NO.492/PN/2010 TILOK JAIN DNYAN PRASARAK MANDAL A.Y. 2005-06 ASSESSMENT WAS COMPLETED U/S 144 OF THE ACT. ON APPEAL, THE CIT(A) DELETED THE ADDITION. THE SAME HAS BEEN OPPOSED BEFORE US BY THE REVENUE BEFORE US. 3. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE MATERIAL ON RECORD. 4. WE FIND THAT THE ASSESSEE WAS REPRESENTED THROU GH SHRI ASHOK S. GANDHI.WHILE. DURING THE APPELLATE PROCEEDINGS, THE CIT(A) DELETED THE IMPUGNED ADDITI ON PLACING RELIANCE ON THE REMAND REPORT SUBMITTED BY THE ASSESSING OFFICER. ADMITTEDLY, THE ASSESSEE IS A CH ARITABLE TRUST HAVING REGISTRATION U/S 12A AND RECOGNITION U /S 80G OF THE ACT. THE AUTHORIZED REPRESENTATIVE PRODUCED XEROX COPY OF THE ORDER OF THE COMMISSIONER GRANTING RECO GNITION U/S 80G(5)(VI) UNDER RULE 11AA OF THE PERIOD OF 25- 5-2007 TO 31-3-2010 WHICH MAKES IT CLEAR THAT THE ASSESSEE IS A CHARITABLE TRUST. THE CIT(A) WAS THEREFORE JUSTIFI ED IN DIRECTING THE ASSESSING OFFICER TO VERIFY THE VALID ITY OF RECOGNITION FOR THE PERIOD IN QUESTION. FURTHER, I T IS SEEN THAT THE ENTIRE AMOUNT OF RS. 29,35,208/- WAS REVEA LED BY WAY OF DONATIONS AND THE SAME WAS EXEMPT UNDER THE RELEVANT PROVISIONS. THOUGH IT WAS DEPOSITED IN SAV INGS BANK ACCOUNT OF THE ASSESSEE. FURTHER, THE RECEIPT OF RS. 29,35,208/- STOOD AS EXPLAINED AS DONATIONS. WE THEREFORE, DO NOT FIND ANY INFIRMITY IN THE ORDER O F THE CIT(A) IN DIRECTING THE ASSESSING OFFICER TO EXAMIN E THE TAXABILITY OF THE DONATIONS. WE UPHOLD THE SAME. 3 ITA NO.492/PN/2010 TILOK JAIN DNYAN PRASARAK MANDAL A.Y. 2005-06 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DIS MISSED. DECISION PRONOUNCED IN THE OPEN COURT ON 23-12-201 1. SD/- SD/- G.S. PANNU SHAILENDRA KUMAR YADAV ACCOUNTANT MEMBER JUDICIAL MEMBER PUNE DATED THE 23 RD DECEMBE R 2011 ANKAM COPY OF THE ORDER IS FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT-(A)- IB PUNE 4. THE CIT I PUNE 5. THE D.R, ITAT PUNE BENCH, PUNE 6. GUARD FILE BY ORDER SR. PRIVATE SECRETARY INCOME TAX APPELLATE TRIBUNAL