TaxTMI 
TaxTMI 
2025 (11) TMI 992
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....u/s.143(1) of the Income-tax Act, 1961, (in short 'the Act'). 2. The assessee has raised the following grounds in appeal: 1.1 On, the fact and in the circumstances of the case and law, the learned Commissioner of Income Tax (Appeals) CIT(Appeals) erred in confirming tax levied by the Deputy Director Of income Tax,CPC (herein referred to as" the AO" @ flat rate of 30% (i.e Maximum Marginal Rate) while processing the Return of income under Section 143(1) of the Act. 1.2. It is submitted that the adjustment has been made without affording the Appellant any opportunity of being heard and the same is in gross violation of principles of natural justice and also the provisions of section 143(1) of the Act. 1.3. It is ....
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....e Act as total Income excluding Dividend Income {Rs. 45,75,79,425/-} is only Rs. 2,19,69,954/- and hence, surcharge is payable on such income @25% and not @ 37 %. Therefore, the rate of surcharge applicable on income other than the income by way of dividend or income under the provisions of section 111A and 112 A of the Act is 25 %. 3. The brief facts of the case are that the assessee is a charitable Religious Trust, filed its return of income declaring at Rs. 47,95,59,380/-and calculate the tax on the income at the normal rate of tax. The return was processed u/s 143(1) of the Act by CPC wherein the tax was calculated on the flat rate 30%, instead of the normal slab rates. The CPC also charged the surcharged at the rate of 37% instead o....
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....id circular is reproduced as under; Circular; No. 320 dated 11-01-1982[F. No. 131(31) /81-TP (PL) (Pt.) SECTION 167 A ASSESSMENT WHERE SHARES OF MEMBERS UNKNOWN) 911. Whether the section is applicable to income received by trustees on behalf of provident funds created exclusively for the benefit of employees 1. "A reference is invited to paragraph 15.1 to 15.7 of the Explanatory notes on the provisions relating to direct taxes in the Finance Act, 1981 [circular No. 308 dated 29-06-1981] which explain the scope and ambit of section 167A, as inserted by the Finance Act, 1981. 2. A question has been raise whether the provisions of section 167A of the Income tax Act which provides for charging of tax at the maximum ma....
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....e attracted and, accordingly tax will be payable in such cases at the rate ordinarily applicable to the total income of an association of persons and not at the maximum marginal rate." As stated above the Appellant has carried on charitable activities by granting donations to the extent of Rs. 20,00,000/- to eligible trusts/institutions and has not claimed the benefits of section 11 of the Act. Accordingly, The above referred Circular clearly applies and the tax is to be levied at the normal slab rates. In view of the above, the Appellants prays Your Honour to kindly direct the learned Assessing Officer to apply rate tax correctly as explained above and re-work the tax payable by the Appellant and oblige." 6. Ld. AR not pressed ....