DCIT, CENTRAL CIRCLE, MEERUT V. GBS EDUCATION TRUST, MEERUT

ITA 7551/DEL/2017

AI Insights

The case involves the Revenue's appeal against the order of the CIT(A)-IV, Kanpur, which had deleted the addition made by the AO under Section 13 of the Income Tax Act, 1961. The addition was initially made due to alleged violations involving the diversion of funds for the benefit of trustees, similar to issues in the assessment years 2011-12 and 2012-13. The CIT(A) had deleted the addition based on precedents set in earlier assessment years where similar relief was granted. The Revenue's appeal to the Tribunal sought to challenge this deletion, but the Tribunal found no new facts that would differentiate this case from previous rulings and thus restored the matter to the AO for re-assessment in accordance with the earlier Co-ordinate Bench's decision.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 113761 (ITAT-DELHI)
• Duration Of Justice: 5 year(s) 5 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-06-2023
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 07-06-2023
• Assessment Year: 2013-2014
• Appeal Filed On: 14-12-2017
• Other Referred Cases: ITA no. 4014, 4015 & 4016/Del/2015
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Charitable institution
• Section: 13

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘C’ : NEW DELHI) BEFORE SH. N.K.BILLAIYA, ACCOUNTANT MEMBER AND SH.ANUBHAV SHARMA, JUDICIAL MEMBER ITA No. 7551/Del/2017, A.Y. 2013-14 DCIT, Central Circle Meerut Vs. GBS Educational Trust A-151, Defence Colony, Meerut, U.P. PAN : AAATG1049D Appellant Respondent Appellant by Sh. Rohit Agarwal, CA Respondent by Shri Bhopal Singh, Sr. DR Date of hearing: 08.06.2023 Date of Pronouncement: .06.2023 ORDER Per Anubhav Sharma, JM : The appeal has been preferred by the Revenue against the order dated 04.09.2017 of CIT(A)-IV, Kanpur (hereinafter referred as Ld. First Appellate Authority or in short Ld. ‘FAA’) in appeal no. 244/DCIT-CC/Mrt/2016-17 arising out of an appeal before it against the order dated 30.03.2016 passed u/s 143(3) of the Income Tax Act, 1961 (hereinafter referred as ‘the Act’) by the DCIT, Central Circle, Meerut (hereinafter referred as the Ld. AO). 2. Heard and perused the record. 3. The issue involved is that the assessee is Charitable Trust and involved in education activities and during the assessment year Ld. AO found violations of provisions of Section 13 as there were diversion of funds for the benefit of 2 ITA no. 7551/Del/2017 GBS Education Trust 2 trustee which were similar to assessment years of the assessment year 2011-12 and 2012-13. Accordingly, addition was made. Ld. CIT(A) after taking into consideration the fact that for the A.Y. 2011-12, the assessee was given relief at the stage of first appeal, the addition was deleted and Revenue is in appeal against such deletion. 4. As a matter of fact the Revenue came before Tribunal in appeal vide ITA no. 4014, 4015 & 4016/Del/2015 for A.Y. 2009-10, 2010-11 & 2012-12 respectively and same have been decided by the Co-ordinate Bench vide order dated 30.01.2018. The appeal of Revenue with regard to use of car for the purpose of school and the purpose of trust was restored to the files of assessing officer and the remaining grounds of Revenue were dismissed. 4.1 Ld. DR has not pointed out any fact making a distinction to the orders dated 30.01.2018. 5. Accordingly, the appeal of the Revenue is allowed for statistical purpose with direction to the Ld. AO to decide the issues afresh in the light of aforesaid order of Co-ordinate Bench. Order pronounced in the open court on 14 th June, 2023. Sd/- Sd/- (N.K.BILLAIYA) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 14 .06.2023 *Binita, SR.P.S* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI