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Income Tax Appellate Tribunal, DIVISION BENCH ‘A’, CHANDIGARH
Before: SHRI SANJAY GARG & MS.ANNAPURNA GUPTA
IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH ‘A’, CHANDIGARH BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND MS.ANNAPURNA GUPTA, ACCOUNTANT MEMBER ITA No.685/Chd/2017 (Assessment Year : 2012-13) The D.C.I.T., Vs. Amritsar Improvement Trust, Circe-1(Exemptions), C-Block, Ranjit Avenue, Chandigarh. Amritsar. PAN: AAJFA4492K (Appellant) (Respondent)
Appellant by : Shri Ram Mohan Singh,CIT DR Respondent by : S/Shri Salil Kapoor, Adv. & Sanat Kapoor, Adv. Date of hearing : 20.03.2018 Date of Pronouncement : 18.06.2018
ORDER Per Sanjay Garg, Judicial Member :
The present appeal has been preferred by the Revenue
against the order of Ld. Commissioner of Income Tax
(Appeals)-2, Amritsar (hereinafter referred to as ‘Ld.CIT
(Appeals)’] dated 19.1.2017, passed u/s 250(6 of the Income
Tax Act, 1961 (in short ‘the Act’) in Appeal No.82/2015-16
relating to assessment year 2012-13.
The Revenue is aggrieved by the action of the CIT
(Appeals) in allowing the claim of exemption to the assessee
trust under section 11 of the Act.
At the outset, the Ld. counsel for the assessee has
submitted that in this case, the Assessing Officer had made
the impugned addition while relying upon the decision of
2 ITA No.685/Chd/2017 AY: 2012-13
the Amritsar Bench of the Tribunal dated 15.1.2013 in the
own case of the assessee for assessment years 2006-07 and
2007-08, wherein it was held that the Amritsar
Improvement Trust did not qualify for exemption under
section 11 of the Act.
However, the assessee preferred appeal against the
order of the Tribunal dated 15.1.2013 before the Hon'ble
Punjab & Haryana High Court. The Hon'ble High Court set
aside the order of the Tribunal and remanded the matter to
the file of the Tribunal vide order dated 6.8.2014.
In the set aside proceedings, the I.T.A.T., Amritsar
Bench vide its order dated 10.9.2015 decided the issue in
favour of the assessee and held that the assessee was
entitled to the benefit of section 11 r.w.s. 2(15) of the Act
and the development activities of the assessee were held to
be falling under the purview and scope of object of general
public utility.
The Ld.CIT(Appeals) following the decision of the
Tribunal dated 10.9.2015 in the own case of the assessee
for assessment year 2004-05 to 2007-08 held that the
assessee trust qualify for exemption u/s 11 of the Act and
that the activities of the trust of planned development of
cities and towns was an object of public utility covered u/s
2(15) of the Act. He, therefore, allowed the appeal of the
assessee.
3 ITA No.685/Chd/2017 AY: 2012-13
Being aggrieved by the above order of the CIT(Appeals),
the Revenue has preferred the present appeal before this
Tribunal. The Ld. counsel for assessee at the outset has
invited our attention to the order of the Hon'ble
Jurisdictional Punjab & Haryana High Court dated
23.12.2016 passed in the own case of the assessee bearing
ITA No.76/2016 alongwith other appeals wherein the
Hon'ble High Court following its decision passed in ITA
No.147/2016 titled as CIT(E) Vs. Improvement Trust, Moga
has dismissed the appeals of the Revenue. It is pertinent to
notice here that in the case of Improvement Trust, Moga,
which was decided alongwith the case of Tribune Trust Vs.
CIT, reported in (2016) 76 Taxmann.com 363 (P&H), the
Hon'ble High Court has held that the assessee, namely
Moga Improvement Trust is undoubtedly an authority
constituted by or under a law, namely, the Punjab Town
Improvement Act, 1922. Further, it is engaged for the
purpose of dealing with and satisfying the need for housing
accommodation. It is also constituted for the purpose of
planning, development of improvement of cities, towns and
villages or both as is evident from sections 22 to 28 of the
Punjab Town Improvement Act, 1922. The Hon'ble High
Court considering the above activities of Moga Improvement
Trust held that the same would fall within the meaning of
advance of any other object of general public utility as
specified u/s 2(15) of the Act.
4 ITA No.685/Chd/2017 AY: 2012-13
As discussed above, following the said decision in the
case of Moga Improvement Trust dated 23.12.2016 (supra),
the appeal of the Revenue in the own case of the assessee,
therefore, was dismissed. The Ld.CIT(Appeals) has followed
the order of the Tribunal dated 10.9.2015 (supra), which
has been further upheld by the Hon'ble High Court. In view
of this, there is no merit in the appeal of the Revenue. The
same is accordingly, dismissed.
In the result, the appeal of the Revenue stands
dismissed.
Order pronounced in the open court on 18.06.2018.
Sd/- Sd/-
(ANNAPURNA GUPTA) (SANJAY GARG) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated : 18th June, 2018 *Rati* Copy to: 1. The Appellant 2. The Respondent 3. The CIT(A) 4. The CIT 5. The DR Assistant Registrar, ITAT, Chandigarh