TaxTMI 
TaxTMI 
2026 (2) TMI 454
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....Court by way of an appeal under Section 260A of the Income Tax Act, 1961 (hereinafter referred to as 'Act of 1961'). 2. The appeal was admitted vide order dated 15.01.2026 and following substantial question of law was framed: "Simply because the assessee had disclosed the income arising from the trust property under the head 'income from other sources', can the exemption be denied?" 3. Though the above question is not subservient to complex facts, however, for the purpose of reaching to the genesis of the same, some factual narration is necessary, which we give as under: 3.1. The appellant is a trust registered as a Non-Governmental Organisation (NGO) with the Ministry of Culture, Government of India and also registered un....
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....the refund was issued. 3.7. Feeling aggrieved with the above-referred order dated 22.11.2019, the appellant preferred an appeal which came to be rejected by the Commissioner of Income Tax (Appeals), Addl/JCIT (A) - 2, Mumbai (hereinafter referred to as 'CIT(A)') vide its order dated 05.11.2024. While doing so, the CIT(A) observed that the Assessing Officer had not added back the bank interest as mentioned in the memo of appeal and as a matter of fact, the same was offered to Income Tax by the assessee itself. 3.8. The appellant assailed the above-referred order before the Tribunal by way of an appeal which too rejected the same, per-viam impugned order dated 22.07.2025. 4. Mr. Akshit Pradhan, learned counsel for the appellant, call....
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.... He argued that when appellant's eligibility and the fact that the voluntary contribution and other incomes have been applied in meeting the expenditure of the trust is not in dispute, the Assessing Officer's approach was contrary to law. 9. Mr. Gaurav Gupta, learned Senior Standing Counsel for the Income Tax-Department, argued that the appellant has been assessed as per its own return and therefore, it should not and cannot have any grievance. 10. He, however, could not dispute the factual position that the appellant had utilised the amount of bank interest so also the voluntary contribution to meet the expenditure of Rs. 2,42,70,889/- of the trust. He was also not in a position to dispute the fact that vide order dated 19.03.201....
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....n mind with the ability to analyse, while the man (the Assessing Officer) has proceeded as a machine. Such approach mocks at the adjudicatory mechanism. 16. We are surprised to see that both the appellate authorities too have applied a telescopic view of the matter and have rejected the appellant's appeal by simply observing that the said amount had not been added by the Assessing Officer. Even if that was so, at least they were expected to consider the material & petitioner's contentions. 17. We may add here that appellate proceedings are a continuation of regular proceedings and if any error has been committed by the Assessing Officer, it is the duty of the appellate authority to correct such error. The Assessing Officer might h....