DCIT, EXEMPTIONS, CIRCLE, CHENNAI V. MAC Charities, CHENNAI

ITA 618/CHNY/2019

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 3248 (ITAT-CHENNAI)
• Duration Of Justice: 8 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-11-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2013-2014
• Appeal Filed On: 11-03-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R VIJAYARAGHAVAN
• Keywords: Charitable institution

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH: CHENNAI , ! . , BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER ! ./ ITA NOS.618, 619/CHNY/2019 # /ASSESSMENT YEARS: 2013-14 & 2014-15 DEPUTY COMMISSIONER OF INCOME TAX (EXEMPTIONS), CHENNAI CIRCLE AAYAKAR BHAVAN, ANNEXE BUILDING III FLOOR, 121, M.G. ROAD NUNGAMBAKKAM, CHENNAI 600 034 VS. M/S. MAC CHARITIES MAC / ICH BUILDING VHS CAMPUS, TITI POST, CHENNAI 600 113 [PAN: AAATM 0483F] ( /APPELLANT) ( $%& /RESPONDENT) ! ./ ITA NO.616/CHNY/2019 # /ASSESSMENT YEAR: 2014-15 INCOME TAX OFFICER (EXEMPTIONS), WARD-4, CHENNAI 600 034 VS. M/S. MAC PUBLIC CHARITABLE TRUST, MAC/ICH BUILDING VHS CAMPUS TITI POST, CHENNAI 600 113 [PAN: AAATM 0484C] ( /APPELLANT) ( $%& /RESPONDENT) ! ./ ITA NOS.620, 621, 622/CHNY/2019 # /ASSESSMENT YEARS: 2012-13, 2013-14 & 2014-15 DEPUTY COMMISSIONER OF INCOME TAX (EXEMPTIONS), CHENNAI CIRCLE AAYAKAR BHAVAN, ANNEXE BUILDING III FLOOR, 121, M.G. ROAD VS. M/S. SRI VENKATESWARA EDUCATIONAL & HEALTH TRUST, NO.1/3A,RIVER VIEW ROAD, KOTTURPURAM, CHENNAI 600 085 ITA NOS.616, 617 618, 619 TO 622 & 1497/CHNY/2019 :- 2 -: NUNGAMBAKKAM, CHENNAI 600 034 [PAN: AAATS 2327L] ( /APPELLANT) ( $%& /RESPONDENT) ! ./ ITA NOS.617 & 1497/CHNY/2019 # /ASSESSMENT YEARS: 2013-14 & 2014-15 DEPUTY COMMISSIONER OF INCOME TAX (EXEMPTIONS), CHENNAI CIRCLE AAYAKAR BHAVAN, ANNEXE BUILDING III FLOOR, 121, M.G. ROAD NUNGAMBAKKAM, CHENNAI 600 034 VS. M/S. UNITED EDUCATIONAL FOUNDATION, MAC/ICH BUILDING, VHS CAMPUS, TITI POST, CHENNAI 600 113 [PAN: AAATU 3411D] ( /APPELLANT) ( $%& /RESPONDENT) & ' ( / APPELLANT BY : SHRI R. VIJAYARAGHAVAN, ADV. $%& ' ( /RESPONDENT BY : SHRI AR.V.SREENIVASAN, JCIT, DR ) ' *+ /DATE OF HEARING : 13.11.2019 ,-# ' *+ / DATE OF PRONOUNCEMENT : 13.11.2019 . / O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER : ITA NOS.618, 619 & 616/CHNY/2019 ARE THE APPEALS FILED BY THE REVENUE IN THE CASES OF M/S. MAC CHARITIES & M/S. MAC PUBLIC CHARITABLE TRUST AGAINST SEPARATE ORDERS OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-17, CHENNAI IN ITA NO.106/16-17 ITA NO.33 0/16-17 & ITA NO.329/16-17, DATED 31.12.2018 FOR ASSESSMENT YEARS 2013-14, 2014-15 & 2014-15 RESPECTIVELY. ITA NOS.620, 621 & 622/CHNY/2019 ARE THE APPEALS FILED BY THE REVENUE IN THE CASE OF M/S. SRI VENKATESWARA EDUCATIONAL & ITA NOS.616, 617 618, 619 TO 622 & 1497/CHNY/2019 :- 3 -: HEALTH TRUST AGAINST SEPARATE ORDERS OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-17, CHENNAI IN ITA NO.110/15-16 ITA N O.109/16-17 & ITA NO.333/16-17, DATED 31.12.2018 FOR ASSESSMENT YEARS 2012-13, 2013-14 & 2014-15 RESPECTIVELY. ITA NOS.617 & 1497/CHNY/2019 ARE THE APPEALS FILED BY THE REVENUE IN THE CASE OF M/S. UNITED EDUCATIONAL FOUNDATION AGAINST SEPARATE ORDERS OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-17, CHENNAI IN ITA NO.111/16-17 & ITA NO. 331/16-17, DATED 31.12.2018 FOR ASSESSMENT YEAR 2013-14 & 2014-15 RE SPECTIVELY. 2. SHRI AR.V. SREENIVASAN, JCIT REPRESENTED ON BEHA LF OF THE REVENUE AND SHRI R. VIJAYARAGHAVAN, ADVOCATE REPRESENTED ON BEHALF OF THE ASSESSEE. 3. SINCE THE ISSUES ARE IDENTICAL IN ALL THESE APPE ALS, WE HEARD THESE APPEALS TOGETHER AND DISPOSE OFF THE SAME BY THIS C OMMON ORDER. 4. IT WAS SUBMITTED BY THE LEARNED DEPARTMENTAL REP RESENTATIVE THAT THE ISSUE IN THESE APPEALS WAS AGAINST THE ACTION OF TH E LEARNED COMMISSIONER OF INCOME TAX (APPEALS) IN DELETING THE DISALLOWANCE M ADE AND ACCEPTED THE ASSESSEES CLAIM AS VOLUNTARY DONATION RECEIVED WHE REAS THE ALLEGED DONATIONS WERE IN FACT CAPITATION FEE COLLECTED FOR ADMISSION IN AN ENGINEERING COLLEGE RUN BY SHRI VENKATESWARA EDUCATIONAL AND HE ALTH TRUST. 5. IT WAS SUBMITTED BY THE LEARNED AUTHORIZED REPRE SENTATIVE THAT THE ISSUES WERE SQUARELY COVERED BY THE DECISIONS OF TH E CO-ORDINATED BENCH OF ITA NOS.616, 617 618, 619 TO 622 & 1497/CHNY/2019 :- 4 -: THIS TRIBUNAL IN EACH OF THE ASSESSEES OWN CASE FO R WHICH HE HAS FILED A CHART AS FOLLOWS: SL. NO. NAME OF THE ASSESSEE I.T.A. NO. A.Y ISSUE REMARKS 1. MAC PUBLIC CHARITABLE TRUST 616/2019(D/A) 2014-15 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2008-09 IN ITA NO.1799 OF 2012 DATED 29.08.2013, AY 2010-11 IN ITA NO.627/2014, DATE- 27.06.2014 AND AY-2011-12, ITA NO2885/2014, 12.04.2017 2. UNITED EDUCATION FOUNDATION 617/2019 (D/A) 2013-14 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES CASE OF THE ASSESSMENT YEAR 2011-12 IN ITA NO.2890/2014, DATE- 12.04.2017 3. UNITED EDUCATION FOUNDATION 1497/2019(D/A) 2014-15 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE OF THE ASSESSMENT YEAR 2011-12 IN ITA NO.2890/2014, DATE 12.04.2017 4. MAC CHARITIES 618/2019 (D/A) 2013-14 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2011-12 IN ITA NO.2887/2014, DATED 12.04.2017 5. MAC CHARITIES 619/2019 (D/A) 2014-15 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2011-12 IN ITA NO.2887/2014, DATE 12.04.2017 6. SRI VENKATESWARA EDUCATIONAL HEALTH TRUST 6202019 (D/A) 2012-13 RECEIPT OF VOLUNTARY DONATION ALLOWED N FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2011-12 IN ITA NO.2889/2014, DATE-12.04.2017 7. SRI VENKATESWARA EDUCATIONAL HEALTH TRUST 621/2019 (D/A) 2013-14 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2011-12 IN ITA NO.2889/2014, DATE-12.04.2017 8. SRI VENKATESWARA EDUCATIONAL HEALTH TRUST 622/2019 (D/A) 2014-15 RECEIPT OF VOLUNTARY DONATION ALLOWED IN FAVOUR OF ASSESSEE BY ITAT IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEAR 2011-12 IN ITA NO.2889/2014, DATE.12.04.2017 IT WAS SUBMITTED BY THE LEARNED AUTHORIZED REPRESEN TATIVE THAT THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) HAS FOLLOWED T HE DECISION OF THE CO- ORDINATED BENCH OF THIS TRIBUNAL IN THE ASSESSEES OWN CASES AS MENTIONED IN THE CHART REFERRED TO SUPRA. THE LEARNED AUTHORIZED REPRESENTATIVE ALSO PLACED ITA NOS.616, 617 618, 619 TO 622 & 1497/CHNY/2019 :- 5 -: BEFORE US THE COPIES OF THE DECISION OF THE CO-ORDI NATED BENCH OF THIS TRIBUNAL REFERRED TO IN THE CHART. 6. IN REPLY THE LEARNED DEPARTMENTAL REPRESENTATIVE SUBMITTED THAT THE COMMISSIONER OF INCOME TAX (APPEALS) AND THE TRIBUN AL HAS NOT CONSIDERED THE VOLUMINOUS EVIDENCES COLLECTED BY THE REVENUE. IT WAS HOWEVER FAIRLY AGREED BY THE LEARNED D.R THAT IN THE CASE OF MAC P UBLIC CHARITABLE TRUST, THE ASSESSING OFFICER HAS RECORDED THAT THE ORDERS RELI ED UPON BY THE ASSESSEE IN ITS OWN CASE FOR THE ASSESSMENT YEAR 2011-12 ARE NO T BEING ACCEPTED BY THE DEPARTMENT AND THE APPEALS ARE BEING PENDING BEFORE THE HONBLE MADRAS HIGH COURT AND THEREFORE THE ISSUES RAISED IN THESE APPEALS HAS NOT REACHED FINALITY. IN REGARD TO THE OTHER CASES AND IN THE C ASE OF UNITED EDUCATIONAL FOUNDATION, ETC. IT WAS FAIRLY AGREED BY THE ASSESS ING OFFICER THAT IT HAS BEEN ADMITTED FOR THE RELEVANT ASSESSMENT YEAR THAT THE PRACTICE HAS BEEN FOLLOWED IN THE PREVIOUS YEARS ALSO TO THE YEAR UNDER APPEAL . THE LEARNED DEPARTMENTAL REPRESENTATIVE VEHEMENTLY SUPPORTED THE ORDERS OF T HE ASSESSING OFFICER. 7. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND PER USED THE MATERIALS AVAILABLE ON RECORD. PERUSAL OF THE ORDERS OF THE CO-ORDINATED BENCH OF THIS TRIBUNAL IN THE ASSESSEES OWN CASE IN RESPECT OF A LL ASSESSEES CLEARLY SHOW THAT THE CO-ORDINATED BENCH OF THIS TRIBUNAL HAS CO NFIRMED THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) FOR TH E ASSESSMENT YEAR 2011-12 BY HOLDING THAT NO INTERFERENCE WAS NECESSA RY IN RESPECT OF THE DECISION OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) WHO HAS ITA NOS.616, 617 618, 619 TO 622 & 1497/CHNY/2019 :- 6 -: EXTENSIVELY ANALYZED THE ISSUE AND DECIDED THE MATT ER BY PLACING RELIANCE ON THE VARIOUS DECISIONS OF THE HONBLE HIGH COURT AND UPHELD THE ORDERS OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS). IN T HE PRESENT CASE, IT IS NOTICED THAT THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) HAS FOLLOWED JURISDICTIONAL DISCIPLINE AND HAS FOLLOWED THE DECI SION OF THE CO-ORDINATED BENCH OF THIS TRIBUNAL IN THE ASSESSEES OWN CASE R EFERRED TO SUPRA IN THE CHART REFERRED TO ABOVE. THIS BEING SO, WE FIND NO REASON TO INTERFERE IN THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (AP PEALS). CONSEQUENTLY, THE APPEALS FILED BY THE REVENUE STANDS DISMISSED. 8. IN THE RESULT, ALL THE APPEALS FILED BY THE R EVENUE IN THE CASES OF M/S. MAC CHARITIES, M/S. MAC PUBLIC CHARITABLE TRUST, M/ S. SRI VENKATESWARA EDUCATIONAL & HEALTH TRUST & M/S. UNITED EDUCATIONA L FOUNDATION ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 13 TH NOVEMBER, 2019 IN CHENNAI. SD/- ( . ) ( S. JAYARAMAN ) + /ACCOUNTANT MEMBER /CHENNAI, /! /DATED: 13 TH NOVEMBER, 2019 . IA, SR. PS SD/- ( ) (GEORGE MATHAN) /JUDICIAL MEMBER . ' $*01 21#* /COPY TO: 1. & /APPELLANT 2. $%& /RESPONDENT 3. ) 3* ( )/CIT(A) 4. ) 3* /CIT 5. 1 45 $* /DR 6. 56 7 /GF ITA NOS.616, 617 618, 619 TO 622 & 1497/CHNY/2019 :- 7 -: