Application of accumulated income towards acquisition of fixed assets allowable u/s. 11: ITAT Ahmedabad

Gujarat Safety Council Vs ITO (ITAT Ahmedabad) ITAT Ahmedabad held that application of accumulated income towards acquisition of the fixed assets allowable under section 11 of the Income Tax Act. Accordingly, matter remanded for fresh consideration. Facts- The assessee is a trust. In the course of assessment, the AO had raised query regarding accumulation of Rs.5,92,352/- for future application made u/s. 11(2) of the Act made in A.Y. 2008-09, which was not applied within 5 years. The assessee had explained that the surplus amounts were utilized as capital expenditure and the total amount spent...