ACIT, Alwar V. PUBLIC ROSE SHIKSHA SAMITI, Alwar

ITA 625/JPR/2013

• Counselvise Citation: 62523114 RSA 2013
• Duration Of Justice: 2 year(s) 4 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-10-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2008-2009
• Appeal Filed On: 13-06-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJ MEHRA
• Assessee Lawyers: P C PARWAL CA DHK

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES (SMC), JAIPUR JH VKJ-IH-RKSYKUH] U;KF;D LNL; DS LE{K BEFORE: SHRI R.P. TOLANI, JUDICIAL MEMBER VK;DJ VIHY LA-@ ITA NO. 625/JP/2013 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2008-09 THE ACIT CIRCLE- 1 ALWAR CUKE VS. M/S. PUBLIC ROSE SHIKSHA SAMITI, TIJARA ROAD ALWAR LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AAATP 5173 D VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS@ REVENUE BY :SHRI RAJ MEHRA, JCIT -DR FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI P.C. PARWAL, CA LQUOKBZ DH RKJH[K@ DATE OF HEARING : 30/10/2015 ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 30 /10/2015 VKNS'K@ ORDER PER R.P. TOLANI, JM THIS IS AN APPEAL FILED BY THE REVENUE AGAINST T HE ORDER OF THE LD. CIT(A), ALWAR DATED 12-04-2013 FOR THE ASSESSMENT Y EAR 2008-09. VARIOUS GROUND ARE RAISED WHICH IN FACT RAISES ONLY ONE ISSUE AS UNDER:- WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CAS E OF LD. CIT(A), ALWAR WAS JUSTIFIED IN HOLDING THAT THE ASSESSEE SAMITI SOLELY EXISTED FOR PURPOSE OF EDUCA TION AND NOT FOR THE PURPOSE OF PROFIT AND HENCE ELIGIBLE FO R EXEMPTION U/S 10(23C(IIIA) WITHOUT CONSIDERING THE DEFICIENCI ES POINTED OUT BY THE AO. ITA NO. 625/JP/2013 ACIT, CIRCLE- 1, ALWAR VS. M/S. PUBLIC ROSE SHIKS HA SAMITI, ALWAR . 2 2.1 THE LD. COUNSEL FOR THE ASSESSEE AT THE OUTSET CONTENDS THAT THE ISSUE IN QUESTION IS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE VIDE ITAT JAIPUR BENCH CONSOLIDATED ORDER (ITA NOS. 497/JP/20 11 & 109/JP/2012) DATED 26-11-2014 IN ASSESSEE'S OWN CASE FOR THE ASS ESSMENT YEAR 2003-04 TO 2007-08 BY FOLLOWING OBSERVATIONS. 7.3 FURTHER, APPEAL RELATING TO A.Y. 03-04, 04 - 05, 05-06 & 06-07 HAVE BEEN ALLOWED BY CIT (A) INTE R ALIA CLAIM OF EXEMPTION U/S 10(23C)(IIIAD) WAS ALLOWED AND IT WAS OBSERVED THAT SAMITI IS SATISFYING THE ALL FOUR CONDITIONS OF CIT (A) ALLOWING EXEMPTION U/S 10(23C)(IIIA) FOR A.Y. 03-04 TO 06-07 AS DISCUSSED ABOVE. IN THIS BACKGROU ND, IT IS UNDISPUTED FACT THAT ASSESSEE SAMITI IS IMPARTING E DUCATION AND EXIST SOLELY AND EXCLUSIVELY EDUCATION PURPOSES AND NOT FOR PURPOSE OF PROFIT AND NOT DOING ANY OTHER BUSIN ESS AS THERE IS NO OTHER SOURCE OF INCOME FROM ANY OTHER B USINESS AND THE AGGREGATE RECEIPTS DOES NOT EXCEED THE PRES CRIBED LIMIT I.E. ONE CRORE. ACCORDINGLY, THE DISALLOWANCE OF CLAIM OF EXEMPTION U/S 10(23C)(IIIAD) WAS NOT JUSTIFIED A S THERE IS NO JUSTIFICATION TO ASSESS INCOME OF ASSESSEE AS B USINESS INCOME AND TO DISALLOW THE EXPENDITURE TREATING THE ENTITY AS BUSINESS ORGANIZATION. THE EXEMPTION U/S 10(23C)(II IA) IS STATUTORILY ALLOWABLE TO ASSESSEE IF ALL CONDITIONS ARE FULFILLED BY ASSESSEE AS DONE IN THIS CASE. IN THIS YEAR, IT HAS NOT BEEN DISPUTED THAT TURNOVE R OF THE ASSESSEE IS LESS THAN RS. 1.00 CRORE. 2.2 THE LD. DR IS HEARD. 2.3 I HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. RESPECTFULLY FOLLOWING THE ITA T JUDGEMENT IN ITA NO. 625/JP/2013 ACIT, CIRCLE- 1, ALWAR VS. M/S. PUBLIC ROSE SHIKS HA SAMITI, ALWAR . 3 ASSESSEE'S OWN CASE FOR THE ASSESSMENT YEAR 2003-04 TO 2006-07 (SUPRA), THE ASSESSEE IS HELD TO BE ELIGIBLE FOR DEDUCTION U /S 10(23C)(IIIA) OF THE ACT. THUS THE APPEAL OF THE REVENUE IS DISMISSED. 3.0 IN THE RESULT, APPEAL OF THE REVENUE IS DISMISS ED. ORDER PRONOUNCED IN THE OPEN COURT ON 30 /10/20 15. SD/- VKJ-IH-RKSYKUH (R.P.TOLANI) U;KF;D LNL;@ JUDICIAL MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 30 /10/ 2015 *MISHRA VKNS'K DH IZFRFYFI VXZSF'KR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- THE ACIT, CIRCLE-, 1, ALWAR 2. IZR;FKHZ@ THE RESPONDENT- M/S. PUBLIC ROSE SHIKSHA SAMITI, A LWAR 3. VK;DJ VK;QDRVIHY@ CIT(A). 4. VK;DJ VK;QDR@ CIT, 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO. 625/JP/2013) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASSISTANT. REGISTRAR