Corpus Donation Already Taxed under IDS Cannot Be Taxed Again: ITAT Kolkata

Srijan Charitable Trust Vs ITO (Exemption) (ITAT Kolkata) Background Srijan Charitable Trust, registered u/s 12A, filed return of income for AY 2011-12 declaring nil income. The case was reopened u/s 147 based on a survey u/s 133A (27.01.2015) in the case of Herbicure Health Care Bio-Herbal Research Foundation, whose director admitted that donations given by it were bogus accommodation entries. The assessee trust had received a corpus donation of ₹20 lakh from Herbicure, which the AO treated as non-genuine, disallowing exemption u/s 11(1)(d) and taxing it at maximum marginal rate. The AO als...