TaxTMI 
TaxTMI 
2022 (11) TMI 116
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.... the benefit under section 11 of the Income-tax Act, 1961 without appreciating that the assessee was not engaged in charitable activity and had earned above normal profits. 2. That the appellant craves to leave, add or amend the grounds of appeal on or before the appeal heard and disposed off." 2. The assessee through its AR Mr. Vibhor Garg, CA had moved an adjournment application stating that due to pre occupation in finalization of statutory audits, he is unable to appear before the Bench. In this regard it is noted that the appeal was filed way back in March 2020 and has been adjourned on as many as fifteen occasions in the past for one reason or the another and therefore, it was decided that no useful purpose would be served....
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....t that the limitation period was extended on account of COVID-19 Pandemic by the decision of Hon'ble Supreme Court as well as by the decision of the Central Government as so referred by the Ld. DR, the delay so happened in filing the present appeal is hereby condoned and the appeal is admitted for adjudication. 4. Briefly the facts of the case are that the assessee society filed its return of income on 26/09/2012 claiming exemption under section 11, the matter was selected for scrutiny and after issuing of notices and calling for the information, explanation from the assessee, the AO held that the activities of the assessee society are not charitable in nature and the benefit of claim of exemption under section 11 was denied to the asses....
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....tances of the case, the Ld. CIT(A) has recorded his findings which read as under: "The facts of the case, basis of denial of benefit u/s 11 and bringing to tax the surplus amount at maximum marginal rate by the AO and arguments of the AR during the course of appellate proceedings have been considered. The AR has argued that the registration of the assessee u/s 12AA is restored by the Hon'ble ITAT vide order dated 19.10.2010 which has also been accepted by the AO in para 2 of the assessment order and assessment for A.Y. 2009-10, 2013-14, 2014-15, 2016-17 have been completed by accepting the claim of the assessee as society registered u/s 12A of the Income Tax Act, 1961. The AR has also argued that the CCIT, Chandigarh has reject....
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....:- The AR filed copies of the assessment orders dated 22.01.2016 for A. Y 2013-14, order dated 30.11.2016 for A.Y. 2014-15 and order dated 10.12.2018 for AY 2016-17, perusal of which shows that the claim of the assessee for registration u/s 12A has been accepted by the AO for all these years for which the assessments were completed u/s 143(3) and the returned incomes were accepted in all these years without making any disallowance/ addition. Under the facts & circumstances of the case, the claim of the assessee for benefit of exemption u/s 11/12A is to be allowed for the year under consideration also. Regarding the depreciation, the AO is directed to examine whether the assets on which the depreciation is claimed were acquired as a....
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....s rather there is deficit during the year under consideration. Further the capital expenditure has been incurred to acquire assets namely computer, electrical equipments, furniture and fixtures, laboratory equipments, building construction and related objects of the assessee society. Further the Ld. CIT(A) has taken into consideration the fact that the claim of the assessee has been allowed by the AO for A.Y. 2009-10, 2013-14 and 2014-15 wherein the claim of the assessee has been accepted and exemption u/s 11 has been allowed to the assessee. Further as regards the double deduction on account of depreciation, the AO has been asked to verify the same as per the law applicable for the year under consideration. Therefore we do not see any infi....