TaxTMI 
TaxTMI 
2012 (6) TMI 542
X X X X Extracts X X X X
X X X X Extracts X X X X
.....4.2009, the Income Tax Appellate Tribunal ('Tribunal', for short) had deleted the addition of Rs. 88,32,845/- made by the Assessing Officer holding, inter alia, that the aforesaid amount by virtue of Section 2(24)(iia) was already included in the income of the assessee and therefore, addition as income from undisclosed sources is not justified. 2. Having heard counsel for the parties we frame the following substantial question of law: - "Whether Income Tax Appellate Tribunal was right in deleting the addition of Rs. 88,32,845/- made by the Assessing Officer and holding that Section 68 is not applicable?" 3. As we heard counsel ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....0 5005000 General Fund Excess of Expenditure Over income 310 5005000 5005000 In the balance sheet as on 31-3-2003 the assessee has shown the opening balance of corpus fund at Rs. 49,05,000/-. Bank statement of the assessee obtained from the Andhra Bank reflects no such credits of cheques amounting to Rs. 50,00,000/- as shown by the assessee in the earlier years balance sheet. When asked about the discrepancy, the assessee vide its letter stated that the previous year cheques in hand of Rs. 50 lacs has been returned back to the party in this year. It means the assessee has recei....
X X X X Extracts X X X X
X X X X Extracts X X X X
....d on the basis of the available record. Bank statement obtained from Andhra Bank was referred to. He recorded that the total amount credited from the opening till 31.3.2003 was Rs. 61,52,545/- including Rs. 4,00,000/-deposited in cash. He further observed that the credit amount of Rs. 61,52,545/- did not explain the corpus donation of Rs. 88,32,845/- and also did not explain the source of payment for the purchase of land and the expenses incurred towards professional payment. The Assessing Officer recorded that the bank statement of M/s CGS Mani Charitable Trust had been obtained. He observed that they did not have sufficient funds and an amount of Rs. 49,39,926/- was received by way of pay order dated 2.7.2002 and an amount of Rs. 49,00,00....
X X X X Extracts X X X X
X X X X Extracts X X X X
....he exemption u/s 11, the assessee is required to show that the donations were voluntary. In the present case, the assessee had not only disclosed its donations, but had also submitted a list of donors. The fact that the complete list of donors was not filed or that the donors were not produced, does ITA No.3950/Del./2007 (A.Y.2003-04) not necessarily lead to the inference that the assessee was trying to introduce unaccounted money by way of donation receipts. This is more particularly so in the facts of the case where admittedly more than 75 per cent of the donations were applied for charitable purposes. Section 68 has no application to the facts of the case because the assessee had in fact disclosed the donations of Rs. 18,24,200 as its in....
X X X X Extracts X X X X
X X X X Extracts X X X X
....00 Land A/c. 8080300 Add: Addition 3927845 8832845 Professional Payment for Construction 145000 Cash & Bank Balances Andhra Bank 606585 General Fund Opening Balance 310 Add: Excess of Expenditure Over income 650 960 8832845 8832845 8. T....