2015 (11) TMI 1609

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....efore, these cases are being taken up together and are being decided jointly by passing the single order being the parties are same and matter of controversy is also the same which can be adjudicated conveniently. 2. The assessee is a member's club which provides catering, games, other recreational facilities, etc. to its members. The sole point which has been raised before us that whether the member fees received by the assessed are liable to be taxed or not. The assessee has received entrance fees from life members as under: (i) From Life Members received during the year Rs.3,43,15,700/- (ii) From Life Members Rs. 20,21,500/- (Transferred from advance account) Total..... Rs.3,63,37,200/-   The Assessing Off....

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....mber 2012 and she resumed her duties on 11th January 2013. She received the notice from the Income Tax Department with regard to appeal filed on 11th February 2013. Thereafter, the cross objection has been prepared and filed on 8th March 2013. No doubt, there is 59 days delay in filing the cross objection but the contents of affidavit speaks about the sufficient cause for filing the cross objection delayed, hence the delay of the assessee is hereby condoned in the interest of justice. The assessee in his cross objection took the plea that the reopening of assessee u/s. 148 of the Income Tax Act, 1961( in short "the Act") is wrong against law and facts. As per record it came into the notice that the return for assessment year 2003-04 was acc....

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....s was decided by the Hon'ble Bombay High Court. The said ratio is relevant for that year under consideration and is not universally applicable for all the assessment year of the assessee. The ratio laid down by the Hon'ble Bombay High Court should be properly appreciated. After hearing both the parties we are reproducing the extract of the said para page 7 of the learned CIT(A) order as under: The only dispute in appeal is what portion of the entrance fees received by the Appellant front persons at the time of admitting them as life members are taxable receipts. The issue has been settled by the Bombay High Court in its own case in assessment year1963-64 and assessment year 1964-65 (136 ITR 569). Bombay High Court held that the entrance ....