Ansari Charitable Trust, Trichur V. ITO, Trichur

ITA 571/COCH/2010

• Counselvise Citation: [2012] 119 COUNSELVISE.COM (IT) 7877 (ITAT-COCHIN)
• Duration Of Justice: 1 year(s) 10 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-09-2012
• Appeal Filed By: Assessee
• Bench Allotted: DB
• Next Hearing Date: 10-09-2012
• Assessment Year: 2001-2002
• Appeal Filed On: 10-11-2010
• Court: TRIBUNAL
• Department Lawyers: SRINIVASU KOLLIPAKA
• Assessee Lawyers: MOHAN PULICKAL
• Keywords: Charitable institution
• Section: 148; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN BEFORE S/SHRI N.R.S.GANESAN, JM AND B.R.BASKAR AN, AM I.T.A. NO.571 COCH/2010 ASSESSMENT YEAR: 2001-02 THE ANSARI CHARITABLE TRUST, PERUMPILAVU, KARIKKAD, TRICHUR. [PAN:AAATA 3304R] VS. THE INCOME TAX OFFICER, WARD-, 1(1), TRICHUR. (ASSESSEE -APPELLANT) (REVENUE-R ESPONDENT) ASSESSEE BY SHRI MOHAN PULICKAL, REVENUE BY SHRI SRINIVASU KOLLIPAKA, JR. DR DATE OF HEARING 10/09/2012 DATE OF PRONOUNCEMENT 10/09/2012 O R D E R PER B.R.BASKARAN, ACCOUNTANT MEMBER: THE APPEAL OF THE ASSESSEE IS DIRECTED AGAINS T THE ORDER DATED 17-08-2010 PASSED BY THE LD. CIT(A)-V, KOCHI AND IT RELATES TO THE AS SESSMENT YEAR 2001-02. 2. THE ASSESSEE IS ASSAILING THE DECISION OF THE LD . CIT(A) IN UPHOLDING THE ORDER OF DENIAL OF EXEMPTION U/S 11 OF THE ACT TO THE ASSESS EE ON THE GROUND THAT THERE WAS VIOLATION OF SECTION 13 OF THE ACT DURING THE YEAR UNDER CONSIDERATION. 3. THE FACTS RELATING TO THE ISSUE ARE STATED IN BR IEF. THE ASSESSEE-TRUST IS RUNNING A HOSPITAL, EDUCATIONAL INSTITUTIONS ETC. AT PERUMP ILAVU, TRICHUR DISTRICT. THE ASSESSEE FILED ITS RETURN OF INCOME FOR THE YEAR UNDER CONSI DERATION ON 31-10-2001 CLAIMING EXEMPT U/S. 11 OF THE ACT, WHICH WAS INITIALLY PROC ESSED U/S 143(1). THEREAFTER, A NOTICE U/S. 148 OF THE ACT WAS ISSUED, ON NOTICING THAT THE ASSESSEE HAS DIVERTED FUNDS FOR THE BENEFIT OF ONE OF THE TRUSTEES, NAMED SHRI MOHAMMED ZAKIR IN VIOLATION OF PROVISIONS OF SEC. 13(2) OF THE ACT. DURING THE CO URSE OF ASSESSMENT PROCEEDINGS, THE I.T.A. NO. 571/COCH/2010 2 ASSESSING OFFICER ALSO NOTICED THAT THE ASSESSEE HA S ALSO ADVANCED A SUM OF RS. 32 LAKHS TO A CONCERN M/S. CITY CENTRE, WHICH VIOLATED THE PROVISIONS OF SECTION 13(2) (H) OF THE ACT. HENCE, THE ASSESSING OFFICER DENIED EXEMP TION U/S 11 OF THE ACT TO THE ASSESSEE AND ACCORDINGLY COMPLETED THE ASSESSMENT. THE ASSESSEE COULD NOT SUCCEED IN THE APPEAL FILED BEFORE THE LD. CIT(A). HENCE, THE ASSESSEE IS IN APPEAL BEFORE US. 4. THE LD. COUNSEL FOR THE ASSESSEE FAIRLY SUBMITTE D THAT THE CO-ORDINATE BENCH OF THIS TRIBUNAL HAS CONSIDERED AN IDENTICAL ISSUE IN THE ASSESSEES OWN CASE RELATING TO THE ASSESSMENT YEARS 2004-05 AND 2005-06 AND THE TRIBUN AL HAS UPHELD THE ORDERS OF THE LD. CIT(A) IN UPHOLDING THE DENIAL OF EXEMPTION U/S 11 OF THE ACT. HE FURTHER SUBMITTED THAT THE ASSESSEE CHALLENGED THE SAID ORDER OF THE TRIBUNAL BEFORE THE HONBLE HIGH COURT OF KERALA AND THE HIGH COURT HAS CONFIRMED TH E ORDER OF THE TRIBUNAL AND ACCORDINGLY DISMISSED THE APPEAL FILED BY THE ASSES SEE. IN EFFECT, THE ORDER OF THE ASSESSING OFFICER IN DENYING EXEMPTION U/S 11 TO TH E ASSESSEE HAS BEEN UPHELD BY THE HONBLE HIGH COURT OF KERALA. WE ALSO HEARD THE LD D.R IN THIS REGARD. 5. WE NOTICE THAT THE LD. CIT(A) HAS FOLLOWED THE D ECISION OF THE CO-ORDINATE BENCH OF THE ITAT IN THE ASSESSEES OWN CASE FOR THEY ASS ESSMENT YEARS 2004-05 AND 2005-06 IN DECIDING THE IMPUGNED ISSUE AGAINST THE ASSESSEE AND THE SAID ORDER OF THE TRIBUNAL HAS BEEN CONFIRMED BY THE HONBLE JURISDICTIONAL HI GH COURT, VIDE ITS ORDER DATED 27-10- 2010 IN I.T.A. NOS. 1729 OF 2009 AND 1 OF 2010. UN DER THESE CIRCUMSTANCES, WE DO NOT FIND ANY REASON TO INTERFERE WITH THE DECISION OF T HE LD. CIT(A) ON THIS ISSUE. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED. PRONOUNCED ACCORDINGLY ON 10 -09-2012 SD/- SD/- (N.R.S.GANESAN) (B.R.BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER PLACE: KOCHI DATED:10TH SEPTEMBER, 2012 GJ I.T.A. NO. 571/COCH/2010 3 COPY TO: 1. THE ANSARI CHARITABLE TRUST, PERUMPILAVU, KARIKK AD, TRICHUR. 2.THE INCOME TAX OFFICER, WARD-1(1), TRICHUR. 3.THE COMMISSIONER OF INCOME-TAX(APPEALS)-V, KOCHI. 4.THE COMMISSIONER OF INCOME-TAX,TRICHUR. 5. D.R., I.T.A.T., COCHIN BENCH, COCHIN. 6. GUARD FILE. BY ORDER (ASSISTANT REGISTRAR) I.T.A.T, COCHIN