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(A) This appeal by the revenue is filed against the order of Learned Commissioner of Income Tax (Appeals)-40, New Delhi, [Ld. CIT(A)”, for short], dated 22/06/2017 for Assessment Year 2013-14. Grounds taken in this appeal of Revenue are as under:
“On the basis of facts and circumstances of the case and in law, the Ld. CIT(A) has erred in ignoring the fact that the assessee is not eligible for exemption u/s 11 of the I.T.Act, 1961.
On the basis of facts and circumstances of the case and in law, the Ld. CIT(A) has erred in ignoring the fact that the assessee’s activities falls Page 1 of 4 ITA No.-5805/Del/2017 Professional Assistance for Development Action within the sixth limb of charitable activity i.e. advancement of general public utility and in lieu of the services of consultancy and technical support assessee is receiving consultancy fee which is in nature of business income.
On the basis of facts and circumstances of the case and in law, the Ld. CIT(A) has erred in allowing the exemption u/s 11 with all consequential benefits even when the assessee society is hit by proviso to section 2(15) of the Act.
On the basis of facts and circumstances of the case and in law, the Ld. CIT(A) has erred in treating the assessee not involved in any trade, commerce or business and mischief of proviso of section 2(15) of the Act is not applicable to the assessee.
The appellant craves leave to add, to alter or amend any ground of appeal raised above at the time of hearing.”
(B) The only issue in dispute in this appeal is whether the assessee is eligible for exemption u/s 11 of I.T. Act read with Proviso to 5.2(15) of I.T.Act. At the time of hearing before us, both sides were in agreement that the issue in dispute is covered in favour of assessee and against Revenue, vide order dated 03.09.2019 for A.Y. 2011-12 (in and order dated 08.12.2020 for A.Y. 2012-13 (in ITA No. 2826/Del/2017) passed by Co-ordinate Benches of ITAT, Delhi in assessee’s own case; copies whereof were filed from assessee’s side during appellate proceedings in ITAT. Whereas the Ld. Counsel for assessee relied on aforesaid order dated 03.09.2019 and 08.12.2020 of Co-ordinate Benches of ITAT Delhi; the Ld. Senior Departmental Representative for Revenue relied on the order of the Assessing Officer (“AO”, for short). Neither side has brought any material to distinguish the facts and circumstances of the case for AY 2013-14 (to which this appeal pertains) from facts and circumstances of A.Y. 2011-12 and A.Y. 2012-13 to which respectively the aforesaid orders dated 03.09.2019 and 08.12.2020 pertain. Neither side has Page 2 of 4
ITA No.-5805/Del/2017 Professional Assistance for Development Action brought any material for our consideration to persuade us to take a view different from view taken by Co-ordinate Benches of ITAT, Delhi in aforesaid orders dated 03.09.2019 and 08.12.2020. Neither side has brought any material for our consideration to persuade us to interfere with the aforesaid impugned order dated 22.06.2017 of Ld. CIT(A).
(C) In view of the foregoing, respectfully following aforesaid orders dated
03.09.2019 and 08.12.2020 of Co-ordinate Benches of ITAT, Delhi in assessee’s own case; we decline to interfere with the aforesaid impugned order dated 22.06.2017 of Ld. CIT(A). Accordingly, the issue in dispute in grounds of appeal in the present appeal before us, are decided in favour of assessee and the appeal filed by Revenue is dismissed.
(D) Order was already pronounced orally in Open Court on 22.02.2021, in the presence of representatives of both sides, after conclusion of hearing. This written order is now hereby passed today on 23/02/2021.