TaxTMI 
TaxTMI 
2024 (9) TMI 1440
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....sessee was suppose to spend 85% of their total receipts. However, in the previous year, the assessee had spent less than the mandatory 85% of the total receipts. ld counsel for the assessee further submitted that in this scenario, form 10 has to be filed with the department demonstrating the balance amount which remained to be spent by the assessee trust and in the coming five years how the assessee proposes to spend the said amount, everything has to be explained through form no.10 and the said form no.10 had been submitted with the department. this form no.10 was, however, not considered by the assessing officer while framing the assessment order and it was contended by ld counsel for the assessee that if the said form no.10 would have be....
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....ditions have been made. He reiterated that even though the documents were placed before the department, they were not considered as per statements mentioned in Form No. 10, which had effected the rights of the registered trust being registered u/s.12A of the Act since 27.7.1977 onwards and running several educational institutions such as Carmel Convent, Carmel School Boarding House and Carmel High School. These facts are not disputed by the department. It was further contended by ld counsel for the assessee that for the quasi judicial authority, it was mandatory as per law to consider all the documents placed on record before arriving at a particular decision. The non-consideration of Form 10 while framing the assessment has jeopardised the....
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....ific enquiry on the afore stated submissions and neither it had provided any independent application of mind and there is no examination or enquiry of facts regarding submissions placed on record and whether they are genuine or not, nothing has been examined by the NFAC and in the findings part, it is only stated as follows: "5. Findings: "The grounds of appeal, the facts and circumstances of the case, the submissions of the assessee, the case laws adduced have been carefully considered. There is no material on record to warrant interference with the order of the AO. Grounds of appeal are accordingly dismissed. 6. As a result, the appeal is dismissed." 6. We observe that this is a case where as a statement at Bar has been made by ld....
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....8 (Mad.) 8. The legal reasoning given in the afore stated judicial pronouncements signifies the fact that legislation has mandated in terms with section 250(4) & (6) that ld CIT(A), NFAC shall conduct independent enquiry into the merits of the matter, if required call for a report from the Assessing Officer and then pass a speaking order. The reasoning in the order and the decision arrived at should be such that the reader can understand the basis on which the final decision is arrived at therein so that it is a speaking order passed by the first appellate authority. In the present case, when the detailed written submissions have been filed by the assessee before the NFAC, which has been simply reproduced and held that the assessment order....