TaxTMI 
TaxTMI 
2021 (10) TMI 219
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.... and on facts in dismissing the appeal without giving adequate opportunity of being heard. 2. The Ld. CIT(A)-2, Rajkot has erred in law and on facts in confirming disallowance of depreciation of Rs. 29,51,998/- treating the same as double deduction claimed by the Appellant. 3. Without prejudice to above, the Ld. AO has erred in law and on facts in not allowing credit of 15% of gross receipts in terms of Section 12(2) r.w.s. 11(1) of the Act while computing the assessed income of the Appellant. 4. The Appellant craves leave to add, amend, delete or alter one or more grounds of appeal. 2. Facts of the case are that the assessee is registered as trust with Assistant Charity Commissioner, Junagadh vide registration No. B-1722-Junagadh. T....
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....unt to double deduction and this would go against the normal accounting principles." 5. In this regard it may be stated that in the case of a charitable/religious trusts, even capital expenditure is considered as application of income towards the objects of the trust Therefore, it is the view of the Assessing Officers that if depreciation is allowed on the assets of such a trust, then the same will lead to double deduction; first by way of deduction of capital expenditure and thereafter, by way of deduction of depreciation on the assets of the trust. 6. The aforesaid view of the Assessing Officers is, however, not correct, keeping in view the scheme of taxation in respect of charitable/religious trusts. In this matter we have never claim/....
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....dinate Bench in the case of Gujarat Cricket Association vs. Assistant Director of Income-tax (Exemption), Ahmedabad [2019] 101 taxmann.com 510 (Ahmedabad-Trib.), wherein it is held as follows: "III. Section 11, read with section 32, of the Income-tax Act, 1961 - Charitable or religious trust - Exemption of income from property held under (Application of income) -Assessment year 2004-05 - Whether, in case of assessee a cricket association engaged in promotion of cricket in specified areas of Gujarat, for purpose of computing income under section 11, its claim for depreciation on capital assets was to be allowed - Held, yes -Whether, even if amount spent on acquiring depreciable asset was treated as application of income of trust in year of....