2011 (3) TMI 1702

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... O R D E R PER VIJAY PAL RAO,JM This appeal by the assessee is directed against the order dated 14.11.2008 of CIT(A) for the assessment year 2005-06. 2. The assessee has raised the following grounds in this appeal: "1. The ld. AO has wrongly assessed by demanding the tax of Rs. 181,8201; 2. The Ld CIT(A) has ordered that the society is not entitled to relief under section 80IA(4)....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he surplus as not taxable on the "principle of mutuality" though the assessee has also claimed the deduction u/s 80IA. He has referred the assessment order as well as the order of the CIT(A) and submitted that both the AO and the CIT(A) has not adjudicated the issue of "principle of mutuality" . He has also referred the letter dated 9.7.2008 and submitted that the assessee has ITA No. 801/Mum/2009....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ised by the assessee shows that an enterprise which is not owned by a company as defined in the IT Act or consortium of such companies are entitled to the benefits u/s 80IA, even if all other conditions laid down in that section is satisfied The assessee has failed the test of qualification for deduction u/s 80IA o f the IT Act. The main point in question is whether the assessee is entitled for de....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the issue of concept of principle of mutuality has not been adjudicated. Similarly, the CIT(A) has decided the appeal of the assessee in paragraph 7.4 as under : "7.4 in view of the above facts and legal position, I am not in a position to interfere with the order of the AO. The disallowance of the claim of deduction u/s 80IA(4) at Rs. 47,69,410/- made by the AO is, therefore, confirmed" 10....