M/s Extrol Educetion Society, V. The DCIT 2 (1),

ITA 67/IND/2009

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 2953 (ITAT-INDORE)
• Duration Of Justice: 1 year(s) 2 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-05-2010
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Next Hearing Date: 26-04-2010
• Assessment Year: 2001-2002
• Appeal Filed On: 18-02-2009
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: APARNA KARAN
• Assessee Lawyers: H P VERMA
• Keywords: Depreciation; Charitable institution

Judgement Text

PAGE 1 OF 3 - I.T.A.NO. 67/IND/2009 EXTROL EDUCATION SOCIETY, BHOPAL IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH : INDORE BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER AND SHRI V.K. GUPTA, ACCOUNTANT MEMBER PAN NO. : AABCE-3826C I.T.A.NO.67/IND/2009 A.Y. : 2001-02 M/S.EXTROL EDUCATION SOCIETY, DCIT, EXTROL TOWER, VS 2(1), JEHANGIRABAD BHOPAL. BHOPAL APPELLANT RESPONDENT APPELLANT BY : SHRI H.P.VERMA AND SHRI ASHISH GOYAL, ADV. RESPONDENT BY : SMT.APARNA KARAN, SR. DR DATE OF HEARING : 26.04.2010 O R D E R PER V.K. GUPTA, A.M. THIS APPEAL FILED BY THE ASSESSEE ARISES OUT OF ORD ER OF THE LD. CIT(A)-I, BHOPAL, DATED 16.11.2008, FOR THE ASSESSM ENT YEAR 2001-02. 2. WE HAVE HEARD BOTH THE PARTIES AND HAVE ALSO PERUSE D THE MATERIAL AVAILABLE ON RECORD. 3. THERE IS A DELAY OF TWO DAYS IN FILING OF THE APPEA L, WHICH OCCURRED DUE TO INADVERTENT MISTAKE ON THE PART OF THE LEARNED COUNSEL FOR THE ASSESSEE AS EXPLAINED BY HIM IN THE COURSE OF H EARING AND WE ARE PAGE 2 OF 3 - I.T.A.NO. 67/IND/2009 EXTROL EDUCATION SOCIETY, BHOPAL SATISFIED WITH SUCH EXPLANATION. HENCE, WE CONDONE THIS DELAY AND ADMIT THIS APPEAL FOR ADJUDICATION. 4. GROUND NOS. 1 TO 4 RELATING TO LEGAL ISSUES WERE NO T PRESSED, HENCE, DISMISSED, AS NOT PRESSED. 5. IN GROUND NO.5, THE ISSUE INVOLVED IS REGARDING ALL OWABILITY OF DEPRECATION OF RS. 28,71,877/-, WHICH WAS STATED TO BE COVERED IN FAVOUR OF THE ASSESSEE BY A DECISION OF THE BENCH IN THE C ASE OF SHRI SATYA SAI TRUST IN I.T.A.NO. 05/IND/2009 DATED 23 RD APRIL, 2010. THE TRIBUNAL IN THE SAME SET OF FACTS IN THAT APPEAL HELD AS UNDER :- 6. WE FIND THAT THE TRIBUNAL IN THE AFORESAID DECISION S RELIED ON BY THE ASSESSEE, AS AFTER CONSIDERING THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE OF ESCORTS LIMITED (SUPRA), HAS H ELD THAT THE ASSESSEE WAS ELIGIBLE FOR ALLOWANCE OF CLAIM OF DEPRECIATION SO AS TO COMPUTE PROPER INCOME OF THE CHARITABLE TRUST. THE FINDINGS OF THE TRIBUNAL IN THE SAID CASE ARE REPRODUCED AS UNDER FOR THE SAKE OF R EADY REFERENCE. 8. WE FIND THAT THE TRIBUNAL IN THE AFORESAID DECI SIONS RELIED ON BY THE ASSESSEE, AS AFTER CONSIDERING THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE O F ESCORTS LIMITED VS. UNION OF INDIA AS REPORTED IN 1 99 ITR 43, HAS HELD THAT THE ASSESSEE WAS ELIGIBLE FOR PAGE 3 OF 3 - I.T.A.NO. 67/IND/2009 EXTROL EDUCATION SOCIETY, BHOPAL ALLOWANCE OF CLAIM OF DEPRECIATION SO AS TO COMPUTE PROPER INCOME OF THE CHARITABLE TRUST. HENCE, RESPECTFULLY FOLLOWING THE SAME, WE ALLOW BOTH THES E GROUNDS OF THE ASSESSEE. 7. RESPECTFULLY FOLLOWING THE SAME, WE ALLOW THIS CLAI M OF THE ASSESSEE. THUS, THIS GROUND OF THE ASSESSEE IS ALLO WED. 8. IN RESPECT OF ISSUE RAISED IN GROUND NO.6, THE LEA RNED COUNSEL SUBMITTED THAT THE LD. CIT(A) DID NOT GIVE ANY FIND ING TO WHICH THE LD. SR. DR ALSO AGREED. HENCE, WE RESTORE THIS ISSUE TO THE FILE OF THE LD. CIT(A) TO ADJUDICATE THE SAME AFRESH AS PER LAW AFT ER GIVING DUE OPPORTUNITY OF HEARING TO THE ASSESSEE. THUS, THIS GROUND OF THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. 9. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE STA NDS PARTLY ALLOWED THIS ORDER HAS BEEN PRONOUNCED IN THE OPEN COURT ON 4 TH MAY, 2010. SD/- SD/- (JOGINDER SINGH) (V. K. GUPTA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 4 TH MAY, 2010. CPU* 26284