M/S. CANE DEVELOPMENT COUNCIL, TITAWI,UTTAR PRADESH vs. JCIT, MUZAFFARNAGAR

Heard both the parties at length. Case file perused.

Coming to the sole substantive issue between the parties, it is noticed that the assessee/appellant is aggrieved against the learned lower authorities’ assessment and lower appellate findings holding it’s “santage” amount as chargeable to tax since representing a revenue item. There does not appear much a dispute between the parties that both the learned lower authorities have treated the assessee as an artificial juristic person than a local authority u/s 10(20) of the Act as well.

Cane Development Council 4. That being the case, learned counsel has filed copy of the assessment order dated 14.11.2019 for assessment year 2017- 18 in it’s case whereas it has already been held assessable as “local authority” which has gone un-rebutted from the Revenue side. I thus reverse both the learned lower authorities’ respective findings not treating it as a local authority but an artificial juristic person in very terms.

Next comes the sole substantive issue herein regarding the assessee’s santage receipts/collections on various tenders floated in the open market. I hereby notice that this tribunal’s earlier co-ordinate bench order in dated 03.05.2023 has already settled the issue that once it is a local authority and it’s receipts are not chargeable to tax, the impugned disallowance/addition has no legs to stand. Deleted accordingly.