ITAT Ranchi Judgments — February 2020

The Tribunal followed a co-ordinate bench's order for assessment year 2012-13, which had restored the issue of Section 10(27) exemption back to the Assessing Officer for fresh adjudication. Therefore, the present appeals were also restored to the Assessing Officer.

The Tribunal followed a co-ordinate bench's order for assessment year 2012-13, which had restored the issue of Section 10(27) exemption back to the Assessing Officer for fresh adjudication. Therefore, the present appeals were also restored to the Assessing Officer.

The Tribunal found it appropriate to re-examine the issue afresh by the Assessing Officer, considering both the original and corrected balance sheets. The assessee was directed to appear before the Assessing Officer with necessary details.

The Tribunal noted that the entities providing funds were part of the same 'Rungta' group as the assessee and had duly responded to notices. Relying on a previous decision for an earlier assessment year, the Tribunal found no evidence of accommodation entries.

The tribunal reversed the CIT(Exemption)'s decision, holding that the benefit to a specific community is not a ground to deny registration, and only the objects, not the activities, are to be examined for Section 12AA registration.

The Tribunal held that for section 54F deduction, the transfer date is when stock-in-trade is sold, not when it was converted. It also directed deletion of disallowance on a settlement made before the relevant section's applicability.