THE CONGREGATION OF BROTHERS OF ST.MICHAEL,COIMBATORE vs. ACIT, EXEMPTIONS,, COIMBATORE

PDF · subscribers
ITA 1122/CHNY/2025Status: DisposedITAT Chennai30 June 2025AY 2023-24Bench: SHRI MANU KUMAR GIRI (Judicial Member), SHRI AMITABH SHUKLA (Accountant Member)1 pages
AI SummaryAllowed

What did the Tribunal hold?

The Tribunal noted that Form 10B was filed within the due date. The Tribunal directed the AO to verify the contention and if found true, to allow the capital expenditure as an application of funds towards charitable activities.

What were the facts?

The assessee, a charitable trust, had gross income and applied funds towards charitable activities. The AO disallowed capital expenditure on the ground that Form 10B was not filed.

What were the issues?

Whether disallowance of capital expenditure is justified when Form 10B was filed within the due date.

Which sections of the Income-tax Act were involved?

Section 143(1),Section 12A

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, ‘C’ BENCH: CHENNAI

Before: HON’BLE SHRI MANU KUMAR GIRI & HON’BLE SHRI AMITABH SHUKLA

Hearing: 18.06.2025Pronounced: 30.06.2025

This appeal by the assessee is arising out of the order of the Commissioner of Income Tax (Appeals), ADDL/JCIT [CIT(A)-1 Mumbai dated 25.02.2025. The assessment was framed by the CPC, AO for the assessment year 2023-24 u/s.143(1) of the Income Tax Act, 1961 (hereinafter the ‘Act’), vide order dated 05.12.2024.

2.

Brief facts of the case are that the assessee is a charitable trust registered u/s 12A of the Act. During the AY 2023-24, the assessee had a gross income of Rs.3,70,50,099/- and had applied Rs.94,16,815/- towards revenue expenditure and Rs.2,76,33,284/- restricting the total application towards charitable activities to Rs.3,70,50,099/-. However, in the intimation u/s 143(1) dated 05.12.2024, the AO, CPC has disallowed capital expenditure of Rs.2,76,33,284/- for the reason that the assessee has not filed Form 10B (Audit Report). On further appeal to CIT(A), the ld. CIT(A) upheld the order of the AO, CPC. Aggrieved, assessee is in appeal before us.

3.

Before us, ld. AR submitted that the Form 10B has been filed on 12.10.2023 within the due date of 31.10.2023. He also referred the copy of the Form 10B.

4.

Per Contra, the ld. DR, Ms. Anitha, Addl. CIT submitted that in the light of the submissions of the ld.AR, the matter may be verified by the AO.

5.

We have gone through the orders of the lower authorities and submission addressed by the parties. We have also perused the copy of the Form 10B filed on 12.10.2023 vide acknowledgment Number:403951980121023. However, we direct the AO to verify the Page - 2 - of 3 contentions of the assessee that the Form 10B has been filed on 12.10.2023 vide acknowledgment Number:403951980121023. If the contentiona of the assessee is found true then AO is directed to allow the capital expenditure of Rs.2,76,33,284/- as an application of funds towards charitable activities.

6.

In the result, appeal filed by the assessee is allowed in terms above order. Order pronounced in the open court on 30th day of June, 2025 Sd/- Sd/- (अमिताभ शुक्ला) ( िनु कुिार गिरर) ( Amitabh Shukla ) ( Manu Kumar Giri) लेखा सदस्य / Accountant Member न्याययक सदस्य/ Judicial Member चेन्नई/Chennai, धदनांक/Dated: 30th , June-2025. KB/- आदेश की प्रतितिति अग्रेतिि/Copy to: 1. अिीिार्थी/Appellant 2. प्रत्यर्थी/Respondent 3. आयकर आयुक्त/CIT - 4. तिभागीय प्रतितिति/DR 5. गार्ड फाईि/GF

Page - 3 - of 3

More judgments on Section 12A

All 6,064 judgments and leading authorities on Section 12A →

Recent GST High Court judgments

Search GST case law →