2002 (10) TMI 27

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....y R. JAYASIMHA BABU J.-The assessee carries on business under the name of Honesty Engineering and Contractors Trust. The assessee made a declaration on October 10, 1968, before the Magistrate at Pondicherry, declaring that that business is being carried on by him for the sole benefit of the Aurobindo Ashram. Later, he executed a deed of trust on June 21, 1972, in which it was set out that he wa....

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....1,74,570 of which Rs. 1,55,155 was actually applied. For the year 1974-75, the credit was for Rs. 1,44,759, the amount applied being Rs. 1,31,592. The assessee's claim that it is only a representative assessee and that as the income is received for the benefit of the Aurobindo Ashram and the Ashram is exempt from tax, no liability will attach to the assessee, was not accepted by the Assessing O....

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....ee in the year 1968 and later the year 1972 was not questioned by the Revenue at any time. The fact that credit entries have been made in favour of the Aurobindo Ashram, Pondicherry, and that the bulk of the amount so credited was applied for the benefit of the Ashram is also accepted. It has been held by the apex court in the case of CIT v. Thanthi Trust [1999] 239 ITR 502 and by this court in th....

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....entative was required to be taxed in the same manner and to the same extent as the beneficiary would have been. The fact that the trust deed refers to the contributions made to the Aurobindo Ashram Trust and its various activities and institutions including the Aurobindo International Centre of Education and such other charitable institutions also would not render the assessee ineligible from clai....