2025 (3) TMI 1919

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....umstances of the case and in law, the assessment as completed is illegal, invalid, and violative of the principles of natural justice and which deserves to be quashed as per law and in the interest of justice. 2. On the facts and circumstances of the case and in law, the Appellant undisputedly being an Agricultural Produce Market Committee (APMC). the AO grossly erred in denying and the CIT(A) grossly erred in confirming the denial of the benefit of exemption under section 10(26AAB) of the Income Tax Act, 1961 to the Appellant which is statutorily allowable to the Appellant and which deserves to be allowed and the entire income of the Appellant deserves to be treated as exempt under section 10(26AAB) as per law and in the interest ....

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....e alternate plea of the assessee to allow exemption under section 11 stating that that the activities of the assessee are in the nature of trade and commerce and that the assessee claiming exemption under section 11 during the assessment proceeding is not substantiated properly. Accordingly, the AO assessed the income of the assessee at Rs. 19,85,78,350/-. Aggrieved, the assessee filed an appeal before CIT(A). The CIT(A) upheld the order of the AO by holding that the assessee being registered under section 12A is not eligible for exemption under section 10(26AAB). The CIT(A) also rejected the alternate plea of the assessee to allow exemption under section 11 for the reason that the same can be claimed only through filing a revised return of....

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....ered a similar issue where it has been held that "4. The brief facts are that assessee has filed its return of income u/s.131 on 30/10/2018 for the A.Y.2018-19 claiming exemption u/s.10(26AAB) however, it has also filed revised return on 26/12/2018 alongwith Form 10B claiming exemption u/s.11. The ld. AO without considering that assessee is an Agricultural Produce Market Committee (APMC) created under the MAPM Regulation Act, 1963 with the aims and objects of to promote agricultural produce and its market and that income of the assessee is exempt u/s.10(26AAB) has proceeded to compute the total income. The ld. Assessing Officer referred to some old CBDT Circular dated 11 of 2010 dated 19/12/2008 and after invoking proviso to Sectio....