TaxTMI 
TaxTMI 
2025 (1) TMI 1392
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....), arising out of the different Assessment Years 2011-12, 2015-16 to 2018-19. 2. At the outset, Revenue submitted that in ITA No. 976 & 977/Ahd/2023 relating to the Asst. Years 2015-16 & 2016-17 arising out of the assessment orders passed under section 147 r.w.s. 144 and under section 143(3) of the Act respectively, wherein Tax Effect is Rs. 8,44,636/- and Rs. 15,61,032/- which are Low Tax Effect as per the new CBDT Circular No. 09/2024 dated 17-09- 2024. Therefore Revenue sought permission to withdraw the appeals. 3. Recording the above submissions, Revenue appeals in ITA Nos. 976 & 977/Ahd/2023 are hereby dismissed as withdrawn. 4. ITA No. 444/Ahd/2023 is relating to the Asst. Year 2011-12 wherein in the first round of appeal, the Reve....
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....reciating, that sufficient opportunities were given to the assessee during assessment proceedings which the assessee did not avail and comply and that the Appellate Tribunal ignored the substantive discussion and findings of the first appellate authority on the application of proviso to Sections 2(15) and 13 (8) of the Act?" 4.1. The Hon'ble Supreme Court of India vide its common judgment dated 19-10-2022 in a batch of cases namely ACIT(Exemptions) Vs. Ahmedabad Urban Development Authority held as follows: "IV. Summation of conclusions 253. In view of the foregoing discussion and analysis, the following conclusions are recorded regarding the interpretation of the changed definition of "charitable purpose" (w.e.f. 01.04.2009), as well a....
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.... other consideration" towards "trade, commerce or business". In this regard, the Court has clarified through illustrations what kind of services or goods provided on cost or nominal basis would normally be excluded from the mischief of trade, commerce, or business, in the body of the judgment. A.4. Section 11(4A) must be interpreted harmoniously with Section 2(15), with which there is no conflict. Carrying out activity in the nature of trade, commerce or business, or service in relation to such activities, should be conducted in the course of achieving the GPU object, and the income, profit or surplus or gains must, therefore, be incidental. The requirement in Section 11(4A) of maintaining separate books of account is also in line with th....
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...., then the receipts would indicate that the activities are in fact in the nature of "trade, commerce or business" and as result, would have to comply with the quantified limit (as amended from time to time) in the proviso to Section 2(15) of the IT Act. B.3. In clause (b) of Section 10(46) of the IT Act, "commercial" has the same meaning as "trade, commerce, business" in Section 2(15) of the IT Act. Therefore, sums charged by such notified body, authority, Board, Trust or Commission (by whatever name called) will require similar consideration - i.e.. whether it is at cost with a nominal mark-up or significantly higher, to determine if it falls within the mischief of "commercial activity". However, in the case of such notified bodies, ther....
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....f "trade, commerce or business", then it must be examined whether the quantified limit (as amended from time to time) in proviso to Section 2(15), has been breached, thus disentitling them to exemption. 254. In accordance with the foregoing discussion, and summary of conclusions, the numerous appeals are disposed of as follows: (i) The revenue's appeals against the Improvement Trust, Moga 158, the Hoshiarpur Improvement Trust159, Bathinda Improvement Trust 160, Fazilka Improvement Trust 61, Sangrur Improvement Trust 162; Patiala Improvement Trust 163, Jalandhar Improvement Trust 164, Kapurthala Improvement Trust 165, Pathankot Improvement Trust 166, Improvement Trust, Hansi 167, and the Special Leave Petitions filed against the Guja....