TaxTMI 
TaxTMI 
2009 (12) TMI 97
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.... Income Tax Appellate Tribunal, Madras 'A' Bench, dated 7.6.2005 passed in I.T.A.No.1524/Mds/2004 in respect of the assessment year 1999-2000 by formulating the following substantial questions of law: "(1). Whether the Tribunal was right in law in holding that the conditions stipulated for availing the benefit of accumulation of income under Section 11(2) are not satisfied? (2). Whether the Tribunal is justified in law in holding that for the purpose of accumulation of the income as provided under Section 11(2) of the Income Tax Act, requires specification of the purposes? 3. Whether the Tribunal was right in law in holding that the reasons stated in Form 10 are vague and not specific?" 2. The facts of the case are as follows: The appe....
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..... The appellant placed reliance on a decision of the Delhi High Court in the case of Hotel and Restaurant Association (260 ITR 190). The Commissioner of Income-tax (Appeals) relied on the decision of the Calcutta High Court in the case of Singhania Charitable Trust (199 ITR 819) and that of Madras High Court in the case of M.CT.Muthiah Chettiar Family Trust (245 ITR 400) and rejected the arguments and confirmed the order of the assessing officer. Aggrieved by the said order, the appellant filed an appeal to the Income-tax Appellate Tribunal contending that the reasons stated in Form 10 are specific and valid within the objects of the Trust and as per the document, the appellant has to incur the expenses and also contended that the appellant....
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....ed viz., repair and renovation of the building, and the difficulties in immediately starting the renovation have also been brought to the notice of the authorities. But at the same time, we also see that Form 10 has not been duly filled up. Even in the matter decided by the Calcutta High Court, the assessee was allowed to adduce fresh evidence to show the specific purpose for which the trust requires accumulation of the income. In this case too, especially in view of the fact that it is AG & OT who is administering the trust, we feel that the same indulgence could be shown. We are not answering the questions of law raised, however, we remand the matter to the Assessing Officer and the assessee shall specify the purpose in addition to renova....