Assessee's claim for exemption u/s 10(35) was rejected by CPC...

Assessee's claim for exemption u/s 10(35) was rejected by CPC while processing return u/s 143(1)(a), which attained finality as assessee failed to challenge it before CIT(A). AO repeated disallowance in assessment order u/s 143(3). CIT(A erred in granting relief against unchallenged disallowance u/s 143(1)(a). Exemption u/s 10(23FB) was rejected by AO and CIT(A, which assessee did not challenge, attaining finality. Assessee's alternative claim for exemption u/s 10(38) for long-term capital gains on share sale was not a fresh claim but change of section, hence admissible. Exemption u/s 10(38) was rightly allowed by CIT(A as conditions under clauses (a) and (b) were met, and third proviso regarding STT was satisfied through notification covering unlisted shares acquired. Assessee, being a trust, is a legal person assessable under the Act and entitled to exemptions, not a pass-through entity u/s 115U as exemption u/s 10(23FB) was denied.