ITAT Pune reverses CIT(E) order, granting 80G approval to a trust, ruling that minor religious expenditures do not negate predominant charitable activities.
The Tribunal held that delay in submitting Form 10B is curable, allowing the trust to claim income application under Section 11(1)(a) as it was filed prior to completion of assessment proceedings.
Tribunal found the appellate order non-speaking, failing to consider multiple submissions including 54F claims and compensation deductions. The matter is remanded for comprehensive review and proper opportunity of hearing.
ITAT Pune allowed a retired PSU bank employee to claim leave encashment exemption of Rs. 6,97,100 under Section 10(10AA) after limit was revised from Rs. 3,00,000 to Rs. 25,00,000. The ruling confirms that updated notifications can affect eligible deductions.
Since the CIT(E) had already accepted the assessed income by issuing Form 4 under the DTVSV Scheme, initiating revision later was held impermissible. Key takeaway: once settled under DTVSV, the assessment cannot be reopened through Section 263.
ITAT emphasized that taxpayers must substantiate the receipt and benefit of group services, remanding the matter due to inadequate examination by lower authorities.
Tribunal reviewed onion cultivation expenses claimed at 21% of gross receipts and found CIT(A)’s 35% estimate excessive. Net agricultural income accepted at Rs.67.12 lakh, partly allowing the appeal.
ITAT Pune held that late filing of audit report cannot disentitle trust from availing benefit of section 11 of the Income Tax Act. Accordingly, order of CIT(A) allowing claim of exemption u/s. 11 upheld and appeal of revenue dismissed.
The Tribunal ruled that reassessment under section 147 was invalid where the basis of information stemmed from a third-party search. It held that such cases must mandatorily proceed under section 153C. The key takeaway: search-linked data cannot justify a section 147 reopening.
ITAT Pune ruled that a primary credit cooperative society can claim deductions under Section 80P(2)(d) for interest and dividend income from other cooperative banks, overturning Revenue’s appeal.
