ZABSANG CHOEKHORLING MONASTERY,JOGINDER NAGAR MANDI H.P vs. INCOME TAX OFFICER EXEMPTION WARD SOLAN, SOLAN

ITA 356/CHANDI/2025Status: DisposedITAT Chandigarh04 February 2026AY 2018-2019Bench: SHRI RAJPAL YADAV (Vice President), SHRI MANOJ KUMAR AGGARWAL (Accountant Member)3 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal noted that while transactions were in the books and the payee received direct donations for construction, the assessee failed to specify the exact work performed and provide confirmation from the payee. Given the assessee's substantial non-compliance before lower authorities, the Tribunal set aside the CIT(A)'s order. The issue was restored to the file of the AO for fresh consideration, with directions for the assessee to address the identified shortcomings.

What were the facts?

During assessment, the assessee made payments of Rs. 65,85,197/- but failed to provide confirmation or specific work details, and bank statements did not reflect these payments. Consequently, the Assessing Officer (AO) deemed the amount unverified and brought it to tax, which the CIT(A) confirmed. The assessee argued that donations were directly received by the payee who then carried out construction of the monastery building, with these transactions reflected in the assessee's books.

What were the issues?

Whether payments made for construction work, where donations were received directly by the payee, could be deemed unverified and taxable due to the assessee's failure to provide specific work details and payee confirmation.

Which sections of the Income-tax Act were involved?

Section 143(3)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “B” BENCH, CHANDIGARH

Before: HON’BLE SHRI RAJPAL YADAV & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM

Hearing: 03.02.2026Pronounced: 04.02.2026

Manoj Kumar Aggarwal (Accountant Member)

1.

Aforesaid appeal by assessee for Assessment Year (AY) 2018- 19 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 16-05-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s 143(3) of the Act on 05-03-2021. Having heard rival submissions, the appeal is disposed-off as under.

2.

During assessment proceedings, upon perusal of Form 26AS, it transpired that th

The order continues below.

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