2022 (1) TMI 693

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....gh V.C. For Respondent(s) : Mr. Sidharth Ranka through V.C. Order This appeal has been filed by the revenue to challenge the judgment of the Income-Tax Appellate Tribunal raising following questions for our consideration: 1. "Whether on the facts and circumstances of the case and law, the Hon'ble Tribunal in justified in stating that neither Explanation 2(a) nor explanation 2(b) ....

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....ld have conducted necessary inquiries on above issues during the proceedings u/s 263 and should not have set-aside the assessment to the AO for conducting necessary inquiries, ignoring the provisions of Explanation 2(a) to section 263 which require the AO to conduct necessary inquiries and if the AO has failed to do so in assessment proceedings, the CIT is empowered to set aside the assessment for....

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.... are running mid day meal programme for which the directly or indirectly receive consideration from government under a contract and this is the main source of income of these trusts?" The revenue has challenged the decision of the Income-Tax Appellate Tribunal by which the Tribunal has set aside the revisional order passed by the Commissioner of Income-Tax in exercise of powers under Section 26....

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....nues. Meaning thereby, that the revenue does not dispute the nature of the charitable activities. Secondly, that the commercial activities are not primary activities of the trust and predominant activity of the trust is charitable. The generation of reasonable surplus would not indicate that the trust is not engaged in charitable activities. The Tribunal was also of the opinion that the assessing ....