TaxTMI 
TaxTMI 
2019 (3) TMI 2009
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....f facts of the case are that the Indraprastha Cancer Society & Research Centre is registered u/s 12A(a) of the Income-tax Act, 1961 ("the Act") vide No.DIT(Exemption)/1994-95/601/45/28 dated 8.5.1995. The society is also notified u/s 10(23C)(via) vide notification No.44/2004 dated 18.8.2004 for the AYs 2004-05 to 2006-07. The aims and objects, as stated in the MOA, is to study and undertake scientific research on all aspects of disease of cancer and in particular to investigate its incidence, prevalence, distribution, causes, symptoms and to promote its cure to cooperate and coordinate with agencies, organizations, hospitals, institutes that are engaged in fighting cancer etc. The society is running a hospital under the name and style of Ra....
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....& 2 of revenue's appeal is in respect of the disallowance of depreciation on the assets purchased by the assessee by application of funds. Learned CIT(A) deleted the same by following the decision of the Hon'ble jurisdictional High Court in the case of Vishwa Jagriti Mission, 73 DTR (Del)195. In assessee's own case also, Hon'ble jurisdictional High Court in DIT vs Indraprastha Cancer Society, ITA No.240/2014 order dated 18.11.2014 considered the question whether after claiming deduction in respect of the cost of the assets u/s 35(1) of the Act, assessee again claimed deduction on account of depreciation in respect of the same asset. Hon'ble jurisdictional High Court held the issue in favour of the assessee. In view of the binding precedent ....
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....vide page nos. 1 to 17, we are satisfied that such a provision was made on scientific basis inasmuch as the explanation of the assessee is that the employees accrue a right of gratuity on their continuous service for five years and the society has to pay them the gratuity as and when they retire, so also the leave encashment, which are ascertain amounts but the time of payment is unknown and, therefore, as a prudent employer, the assessee has to make provision for payment of such ascertained amounts but at an unascertained time. 8. Further, learned CIT(A) drew strength from the judgment of the Hon'ble jurisdictional High Court in the case of DIT(E) vs NASSCOM, 345 ITR 362 wherein it was held that the income available for charitable p....
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....amount of the cost of the machinery. We, therefore, set aside this issue to the file of the learned AO to verify whether the advance amount is excluded from the cost of the machinery or the capital assets in the year in which the expenditure is taken cognizance of and if the advance amount is excluded while booking the expenditure to allow this advance amount for this year. Ground No.5 is, therefore, allowed for statistical purposes. 11. Now coming to the appeal of the assessee, the sole ground taken is in respect of the addition made on account of the earmarked funds received by the assessee. The assessment order shows that during the year the assessee received a sum of Rs.1,29,14,392/- as earmarked funds from eight entities. Out of these....