M/S. PRARTHANA EDUCATION SOCIETY,BANGALORE vs. THE ASSISTANT COMMISSIONER OF INCOME TAX (EXEMPTIONS), CIRCLE-1, BANGALORE

This appeal filed by the assessee is directed against the order of the CIT(A)-14, LTU, Bangalore, dated 27.02.2017 for the Assessment Year 2012-13, under section 250 of the Income Tax Act, 1961 (‘the Act’).

The undisputed fact is that the assessee is registered under section 12A of the Act and that it is eligible to claim exemption under section 11 of the Act. The short point for consideration is whether the computation of exemption Page 2 of 10 under section 11 of the Act has to be done on the gross income or the net income of the assessee. Both the parties agreed that the issue is no more res-integra as it is covered by the decision of the Bangalore Bench of the Tribunal in the assessee’s own case for the Assessment Year 2011-12 vide order dated 06.10.2015. This Bench held at para 6, page 4, as follows:

Respectfully following the same, we allow this appeal of the assessee and direct the Assessing Officer to compute the exemption as claimed by the assessee.

In the result, this appeal of the assessee is allowed.