TaxTMI 
TaxTMI 
2013 (7) TMI 728
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.... included in its objects clause and even registration u/s 12A was not available for A.Y. 2009-10. 2. The CIT(A) erred in treating all donations as explained and for corpus when in case of 1246 donations amounting to Rs.45,42,223/- even identity of donors were not established. 3. Appellant craves leave to amend, alter, add or modify any ground or grounds of appeal either before or at the time of hearing of case." 3. The brief facts of the case are that the assessee is a Society registered with Registrar of Societies Uttar Pradesh vide Registration Certificate No.2477/2004-05 dated 19.03.2005 which was renewed on 03.01.2010 for a further period of five years. During the year, the assessee was engaged in construction of school in the name o....
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....is only of Rs.3,24,702/-. The A.O. came to the conclusion that out of Rs.48,66,925/- there is no details in respect of identity and the addresses of the donors as well as the confirmations of the balance amount of Rs.45,42,223/-. The A.O. noted that the assessee has failed to furnish documents showing identity and addresses and the confirmations and also there is no direction regarding these amounts being corpus in nature. There is no evidence of creditworthiness for amount of Rs.45,42,223/-. In the absence of such details, the A.O. made addition of Rs.48,66,925/- under section 68 of the Act.. 4. The CIT(A) did not agree with the finding of the A.O. that the assessee trust was not existing for educational purposes. The relevant finding of ....
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....A) has also found that on every receipt it is clearly stated that the donor has given donation to the society for 'Vidyalaya Bhawan Nirman'. The CIT(A) found that the society had been given a clear mandate in respect of donations to the corpus fund as provided under section 11(1)(d) of the Act and thus there is no infringement to the provisions of the Act. The CIT(A) further noticed that the assessee trust has filed coy of Ration Card of the donors along with confirmations which goes to prove that the society has complete record of the donors with their names, addresses, and the amount of donation received. The CIT(A) held that the observation of the A.O. that the donations are anonymous has no force. The CIT(A) has also examined the issue ....
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....s the corpus fund of the Society, the donation received by the Society were used in the construction of the school building as has been clearly recorded by the AO in paragraph 3 at page 5 of the order, the further donation received to meet the expenses of the Society were only to the tune of Rs.1,00,000/- and even if the total donation received are treated as income of the Society, the same continues to be less than Rs.1 crore. Thus, assessee gets benefit of exemption u/s 10(23C)(iiiad), and, thus, its income is exempt from tax. The addition made of Rs.48,66,925/- stands deleted." 7. We have heard the ld. Representatives of the parties and records perused. The Revenue has challenged the order of CIT(A) on two grounds, first one is that th....
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....nal Society vs. ITO in ITA No.383/Agra/2012, order dated 08.03.2013. The relevant finding of I.T.A.T. is reproduced as under :- "19. Now coming to grounds nos.2 & 3, the case of the assessee is that even if addition is sustained, the assessee is entitled to benefit of Section 11 or under Section 10(23C) of the Act. The CIT(A) by relying upon a judgment of Hon'ble Supreme Court in the case of Orrisa State Warehousing Corporation vs. CIT, 237 ITR 589 (SC) and order of I.T.A.T. Hyderabad Bench in the case of DCIT vs. Smt. Soeda Educational Society, ITA No. 237 & 238/H/2010, order dated 21.04.2011, rejected the assessee's contention. On the other hand, the assessee relied upon a judgment of Hon'ble Delhi High Court in the case of Director of I....