TaxTMI 
TaxTMI 
TaxTMI 
2025 (11) TMI 334
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....s of appeal: "1. The Ld Addl/Jt Commissioner of Income tax has erred in confirming the additions made in Intimation u/s 143 (1)(a)(ii) as Income chargeable to tax under section 115BBI of the Income tax Act by Rs. 57,21,300/- disregarding the fact that this amount represents Amount spent out of accumulation of Year 16-17 and reported in Form 10 filed and Revised Form 10B filed by Auditor on 07/02/25. 2. The Ld Addl/Jt Commissioner of Income tax has erred in confirming the addition stated in Ground no 1 above u/s 143 (1)(a)(ii) by not considering the Revised Form no 10B filed on 07/02/25 during the course of Appeal proceedings. 3. The Ld Addl/Jt Commissioner of Income tax has erred in confirming the addition stated ....
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....he Act, exceeds rupees five crores during the previous year; or (II) such trust or institution has received any foreign contribution during the previous year; or (III) such trust or institution has applied any part of its income outside India during the previous year; (b) Form No. 10BB in other cases. 3. The return of the assessee was processed and the an adjustment notices was issued under section 143(1)(a)(ii) stating that since the total income of the assessee exceed to Rs. 5 crore the Audit Report should have been filed in Form 10B. Out of abundant caution the assessee filed Form 10B on 16.01.2024 and in the said Form 10B the assessee has inadvertently reported the income to be taxed under section 115BBI as....
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....ncome of Rs. 2,06,06,960/- is offered to tax under section 11(3) and therefore the same should not be taken into account for the purpose of the income under Rule 17B. Accordingly the ld. AR argued that the CPC should have processed the return of the assessee by considering the Form 10BB originally filed by the assessee. Without prejudice the ld. AR took the Bench through the Form 10B filed originally and the corrected Form 10B to submit that the assessee has inadvertently mentioned the actual amount applied out of earlier year accumulation as the amount offered to tax. The ld. AR argued that the CPC while processing the return did not consider the clarification provided in this regard. The ld. AR further argued that the assessee has filed t....
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....does not exceed Rs. 5 crore. From the perusal of Rule 17B as extracted in the earlier part of this order, we notice that the monetary limit of Rs. 5 crore is at a gross level without giving effect to the provisions of sections 11 and 12 of the Act. The receipts of the assessee during the year under consideration is Rs. 2,98,66,359/- and the ld AR argued that this is the amount that should be considered for the purpose of Rule 17B and not the deemed income under section 11(3). During the year under consideration the assessee offered deemed income to the tune of Rs. 2,06,06,960/- under section 11(3) of the Act for the reason that the said amount has not been utilised for the purpose for which it is accumulated. Section 11 contains provisions ....
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....ous/ oses regis sited Amount Year Amount rese Amo Scientific othe tere in deemed to arch/ unt research r dus Amount the Amount be Income soci taxe / social than 12AB Balance invested mod which is within Purp al d In Balance science the or amount or deposite es not meaning Of Accumulat ose scle Balance any available or purp appr available d in the othe utilized of sub- SI. Accu ed in the Of nce (5) = (2 - earli for statistic ose oved for modes r during the section (3) No. mula year of Accu or 4) er application al for unde application specified than period of of section tion( accumulati mula stati Asse (7)= (5 - 6) research whic (11) = (7 - In speci accumulati 11 (if F.Yr) on tion stica 55m ....