Cawnpore Cares Society, Kanpur V. Assistant Commissioner of Income Tax, Ward- 1(1), Kanpur

ITA 515/LKW/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 2491 (ITAT-LUCKNOW)
• Duration Of Justice: 8 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-03-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2015-2016
• Appeal Filed On: 20-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 12A; 12AA; 10; 11

Judgement Text

I.T.A. NO.515/LKW/2018 ASSESSMENT YEAR:2015-16 1 IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH B, LUCKNOW BEFORE SHRI A. D. JAIN, VICE PRESIDENT AND SHRI T. S. KAPOOR, ACCOUNTANT MEMBER ITA NO.515/LKW/2018 ASSESSMENT YEAR:2015-16 CAWNPORE CARES SOCIETY, 15/201, CIVIL LINES, KANPUR. PAN:AABTC 8305 M VS. A.C.I.T., WARD-1(1)(1), KANPUR. (APPELLANT) (RESPONDENT) O R D E R PER T. S. KAPOOR, A.M. THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER OF LEARNED CIT(A)-I, KANPUR DATED 10/05/2018 PERTAINING TO ASS ESSMENT YEAR 2015- 2016. 2. LEARNED A. R., AT THE OUTSET, SUBMITTED THAT THE ASSESSEE FILED ITS RETURN OF INCOME CLAIMING EXEMPTION U/S 11 OF THE A CT. IT WAS SUBMITTED THAT THE ASSESSEE HAD CLAIMED EXEMPTION U/S 11 BY M ISTAKE AS THE ASSESSEE WAS NOT REGISTERED U/S 12A HOWEVER, THE ASSESSEE BE ING ENGAGED IN THE RUNNING OF SCHOOL WAS ELIGIBLE FOR EXEMPTION U/S 10 (23C)(IIID) OF THE ACT AS THE GROSS RECEIPT OF THE ASSESSEE WAS LESS THAN RUP EES ONE CRORE, WHICH IS APPARENT FROM PAGES 47 & 48 OF THE PAPER BOOK WHERE A COPY OF BALANCE SHEET AND PROFIT & LOSS ACCOUNT IS PLACED. LEARNED A. R. SUBMITTED THAT CPC HAD TAXED THE TOTAL GROSS RECEIPTS AMOUNTING TO RS. 1,85,189/- AS ITS NET APPELLANT BY SHRI RAKESH GARG, ADVOCATE RESPONDENT BY S HRI C. K. SINGH, D.R. DATE OF HEARING 28/02/2019 DATE OF PRONOUNCEMENT 08 / 03 /201 9 I.T.A. NO.515/LKW/2018 ASSESSMENT YEAR:2015-16 2 INCOME AND HAD CALCULATED TAX THEREON WHICH AGAIN I S WRONG AS EVEN IF IT WAS TO BE CONSIDERED AS AOP, THE BASIC EXEMPTION LI MIT OF RS.2,50,000/- WAS TO BE CONSIDERED AND THEREFORE, ALSO NO TAX WOU LD HAVE BEEN PAYABLE BY THE ASSESSEE. 3. LEARNED D. R., ON THE OTHER HAND, SUPPORTED THE ORDERS OF THE AUTHORITIES BELOW. 4. WE HAVE HEARD THE RIVAL PARTIES AND HAVE GONE TH ROUGH THE MATERIAL PLACED ON RECORD. WE FIND THAT COPY OF PROFIT & LO SS ACCOUNT AND BALANCE SHEET IS PLACED AT PAGES 47 & 48 OF THE PAPER BOOK. THE GROSS RECEIPT AS PER PROFIT & LOSS ACCOUNT PAGE 48 IS RS.1,85,189/- AND AFTER CLAIMING CERTAIN EXPENSES, THERE IS NET LOSS OF RS.97/-. THE ASSESS EE BY MISTAKE HAD CLAIMED EXEMPTION U/S 11 OF THE ACT TO WHICH IT WAS NOT ENT ITLED AS IT WAS NOT REGISTERED U/S 12AA OF THE ACT BUT THE ASSESSEE WAS ELIGIBLE TO AVAIL EXEMPTION U/S 10(23C)(IIID) OF THE ACT AS THE GROSS RECEIPTS OF THE ASSESSEE IS LESS THAN RUPEES ONE CRORE. WE FURTHER FIND THA T THE BASIC EXEMPTION LIMIT HAS ALSO NOT BEEN CONSIDERED IN THE CASE OF T HE ASSESSEE AND TAX HAS BEEN CALCULATED ON THE GROSS RECEIPTS WHICH IS NOT JUSTIFIED. THEREFORE, WE DEEM IT APPROPRIATE TO REMIT THE ISSUE BACK TO THE FILE OF ASSESSING OFFICER WHO SHOULD LOOK INTO THE ISSUE AND SHOULD PASS APPR OPRIATE ORDER AFTER CONSIDERING THE ELIGIBILITY OF THE ASSESSEE U/S 10( 23C(IIID) OF THE ACT. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE OPEN COURT ON 08/03/2019) SD/. SD/. ( A. D. JAIN ) ( T. S. KAPOOR ) VICE PRESIDENT ACCOUNTANT MEMBER DATED:08/03/2019 *SINGH I.T.A. NO.515/LKW/2018 ASSESSMENT YEAR:2015-16 3 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. CONCERNED CIT 4. THE CIT(A) 5. D.R., I.T.A.T., LUCKNOW ASSISTANT REGISTRAR