TaxTMI 
TaxTMI 
2001 (5) TMI 8
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....year 1988-89: "(i) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is justified in holding that the agricultural income will not form part of total income for the purpose of computing the accumulation of income in excess of 25 per cent. of the total income as laid down under section 11 of the Income-tax Act, 1961?" The Revenue has filed this appl....
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....riculture is exempted from the tax under section 10(1) of the Act and not chargeable to tax under section 4 of the Act, which is the charging section, is erroneous. In support of his submission he has placed reliance on a Bench decision of the Allahabad High Court in the case of CIT v. Panchayati Akhara Nirmal [1991] 190 ITR 121. According to Sri Arya the view taken by the Tribunal runs contrary t....
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....he extent such income is applied for such purposes in India or is accumulated to the extent permitted. What the Income tax Officer had to determine was how much income derived by the assessee from non-agricultural property held under trust for charitable or religious purposes has been applied for such purpose in India. The assessee had not maintained a separate account of the income derived from n....
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....operties and non-agricultural properties are held under trust for specified purposes. Had the income from both these sources been kept apart, it would have been possible to know how much income derived from non-agricultural properties has been applied towards the specified purposes, but in the absence of separate accounts, the Income-tax Officer had no option but to allocate the amount spent betwe....