TaxTMI 
TaxTMI 
2018 (9) TMI 866
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....er. The Revenue Department has also preferred the appeal i.e., ITA No.10(Asr)/2017, on feeling aggrieved against the order dated 01.10.2016 passed by the ld. CIT(A)-2, Jalandhar, whereby he has deleted the penalty imposed by the Assessing Officer. 2. The brief facts of the case as noted in the assessment order are that the assessee society is registered with Registrar of Society under the Societies Registration Act (XXI of 1860) and as amended by Punjab Amendment Act, 1957 vide Regn. No. DIC/542 of 2004 on 25.06.2004, engaged in running of Education Institutions, has filed its return of income for the year under consideration on 30.09.2011 declaring therein 'Nil' income. During the course of assessment proceedings, the Assessing Officer ha....
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.... the fee forming part of corpus, fee pertaining to earlier years and fee received in advance is not to be excluded. 2. Without prejudice to ground 1, the Commissioner of Income Tax (Appeals) is wrong in holding that the newly added proviso to section12A(2) is not applicable in the case of appellant as the proceedings were not pending. Whereas CIT(A) having power to enhance the assessment is having powers co-terminus with AO and as such proceedings are pending before him. 3. Without prejudice to ground 1 & 2, the Commissioner of Income Tax (Appeals) is wrong in holding that in case income is to be computed without giving relief under s.10(23C)(iiiad), it is not to be calculated under mercantile system taking into consideration concept ....
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....rust or the establishment of the institution, [whichever is later and such trust or institution is registered under section 12AA ] : [Provided that where an application for registration of the trust or institution is made after the expiry of the period aforesaid, the provisions of sections 11 and 12 shall apply in relation to the income of such trust or institution,- (i) from the date of the creation of the trust or the establishment of the institution if the [***] Commissioner is, for reasons to be recorded in writing, satisfied that the person in receipt of the income was prevented from making the application before the expiry of the period aforesaid for sufficient reasons; (ii) from the 1st day of the financial year in which the....
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.... granted to the trust or institution under section 12AA, then, the provisions of section 11 & 12 shall apply in respect of any income derived from property held under trust of any assessment year preceding the aforesaid assessment year, for which assessment proceedings are pending before the Assessing Officer as on the date of such registration and the objects and activities of such trust or institution remain the same for such preceding assessment year: Provided further that no action under section 147 shall be taken by the Assessing Officer in case of such trust or institution for any assessment year preceding the aforesaid assessment year only for non-registration of such trust or institution for the said assessment year: Provided ....
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....refer section 12A(1); UP Forest Corporation & Ors. v. CIT [2008] 297 ITR 1 (SC)). However, even where granted subsequent to the assessment, as in the present case, an assessee cannot, given the scheme of the Act, be denied the benefit of sections 11 and 12. All the Co-ordinate Benches in the aforesaid cases categorically held that amendment made by Finance Act, 2014 by inserting a proviso in Sec.12A of the Act shall be construed retrospectively in operation because the legislator in its wisdom has brought this proviso to prevent genuine hardship which could be caused on the assessee due to non-registration u/s 12A of the Act. Even otherwise the Apex Court in the case of 'CIT vs. Vatika Township Pvt. Ltd. [2014] 236 ITR 466(SC) clearly he....