2025 (6) TMI 1937

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....of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') relating to the Assessment Year 2022-23. 2. Brief facts of the case is that the assessee is an Educational Trust filed its Return of Income for the Asst. Year 2022-23 on 03- 10-2022 declaring Nil income after claiming exemption u/s. 11 of the Act. The assessee Trust made investment of Rs. 2.75 crores in fixed deposit with Axis Bank in the specified mode. However in Form No. 10 filed on 22.09.2022, the figure of Rs. 3,75,000/- was mentioned by clerical error. The Return of Income was processed u/s. 143(1) of the Act on 07-11-2022 denying exemption u/s. 11 of the Act. 3. It is thereafter, the assessee filed Revised Audit Report in Form No. 10 on 01-07-2023. The assessee Trus....

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....ypographical error filed in original audit report filed since the contention of appellant is verifiable from documentary evidence. The same has been perused and seen that facts of the instant case are also identical to the facts of the case law relied upon The appellant had set apart Rs. 3,75,00,000/- for specific purposes, which can be verifiable from Trust Board resolution and ITR filed However the amount was entered as Rs 3,75,000/ which amounts as a typographical error. 7.3.1.1. The reliance is placed on the decision of Hon'ble ITAT MUMBAI BENCH 'F' in the case of Deputy Commissioner of Income-tax (Exemption)-2(1) vs Vile Parle Mahila Sangh (2024) 166 taxmann com 737 (Mumbai Trib 1/2024] 209 ITD 587 (Mumbai) Trib (10-09-20....

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....the benefit of exemption under section 11(2) of the It Act shall not be denied due to wrong filing of details in original audit report. 7.4. From the perusal of the return of income filed by the appellant for the year under consideration we find that the assessee claimed to have accumulated Rs 25 crore under section 11(2) of the Act The aforesaid fact is further evident from Schedule-1 of the return, wherein the details of the amount accumulated/set apart within the meaning of section 11(2) of the Act have been mentioned. Further we find from Form No 10 filed by the assessee on 01/07/2023 that the amount of accumulation was stated to be 3.75 crores. From the perusal of the aforesaid Form No 10 the aforesaid amount of Rs 3.75 crore was dec....

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....as specified in the Act. Therefore, the claim of assessee u/s. 11(2) is not allowable as per the provisions of section 11(2)(c) of the I.T. Act 1961. 6. We have heard the rival submissions and perused the materials available on record. It is undisputed fact that the assessee filed its original return along with Form No. 10 on 22-09-2022. After passing of the Intimation order u/s. 143(1) and denying exemption u/s. 11(2) of the Act, the assessee filed Revised Audit Report in Form No. 10 on 01-07-2023 rectifying the claim of exemption u/s. 11(2) of the Act. However the Ld. A.O. passed the rectification order confirming the demand on the ground of Audit Report in Form No. 10 was filed belatedly. 6.1. Ld. CIT(A) considered the materials on rec....