B B M B WELFARE SOCIETY,CHANDIGARH vs. INCOME TAX OFFICER, EXEMPTIONS WARD,, CHANDIGARH
आयकर अपील
य अ धकरण,चडीगढ़ यायपीठ, चडीगढ़
IN THE INCOME TAX APPELLATE TRIBUNAL
DIVISION BENCH, “SMC” CHANDIGARH
BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER
आयकर अपील सं./ITA No.732/CHD/2024
नधारण वष / Assessment Year : 2019-20
थायीलेखासं./PAN NO: AAATB7380E
अपीलाथ/Appellant
यथ/Respondent
नधारती क ओर से/Assessee by: Shri Ramesh Trehan, C.A.
राजव क ओर से/ Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr.DR
सुनवाई क तार"ख/Date of Hearing
: 16.04.2025
उदघोषणा क तार"ख/Date of Pronouncement : 17.04.2025
PHYSICAL HEARING
आदेश/Order
The present appeal has been filed by the assessee against the order of the Commissioner of Income Tax
(Appeals [in short referred to as CIT(A)] dated 29.04.2024
relating to assessment year 2019-20. 2. The assessee in this appeal is aggrieved by the action of the CIT(A) in upholding the action of the ITA No. 732/Chd-2024
A.Y. 2019-20
2
Assessing Officer of charging the assessee Trust/Society at maximum marginal rate of tax.
3. A perusal of the impugned order of the CIT(A) revealed that the ld. CIT(A) has relied upon the provision of Section 164(3) of the Act by treating the assessee
Society as assessable in a representative capacity and where the shares of the beneficiaries of income were in- determinate.
4. The ld. Counsel for the assessee, however has demonstrated that the provisions of said Section 164 of the Act were not applicable in the case of the assessee.
That the assessee is a Society registered under Societies
Registration Act, 1860 and has also been registered as a charitable institution under Section 12A of the Income
Tax Act. That the provisions of Section 164 were not applicable in the case of the assessee, rather the assessee is liable to be assessed as per the provisions of Section 11 of the Income Tax Act as applicable to the charitable institutions registered under Section 12A of the Income Tax Act.
ITA No. 732/Chd-2024
A.Y. 2019-20
3
The ld. DR could not rebut the aforesaid facts on the file. 6. In view of this, the impugned order of the CIT(A) is set aside and the matter is restored to the Assessing Officer with a direction to assess the income of the assessee by treating the assessee as a Society which has been registered under Societies Registration Act as well as, as a charitable institution under Section 12A of the Income Tax Act and by applying provisions/deductions as admissible under section 11 of the Income Tax Act. 7. The appeal of the assessee is treated as allowed for statistical purposes.
Order pronounced on 17 t h April, 2025. ( SANJAY GARG)
यायक सदय/ Judicial Member
“Poonam.”
आदेश क त)ल*प अ+े*षत/ Copy of the order forwarded to :
1. अपीलाथ/ The Appellant
2. यथ/ The Respondent
3. आयकर आयु,त/ CIT
4. आयकर आयु,त (अपील)/ The CIT(A)
5. *वभागीय त न/ध, आयकर अपील"य आ/धकरण, च1डीगढ़/ DR, ITAT, CHANDIGARH
6. गाडफाईल/ Guard File
आदेशानुसार/ By order,
सहायक पंजीकार/