Which cases are most cited on Section 164(2)?

1. Father Mullers Charitable Institutions 363 IT 230 (Kar.) 2. DIT(E) v. Sheth Mafatlal Gagalbhai Foundation Trust (249 ITR 533) — 108 citing judgments; DIT v. Bharat Diamond Bourse (259 ITR 280) — 86 citing judgments; CIT v. Fr, Mullers Charitable Institutions (51 Taxmann.com 378) — 39 citing judgments; CIT v. Working Women’s Forum (365 ITR 353) — 34 citing judgments; DIT(E) v. Charanjiv Charitable Trust (43 Taxmann.com 300) — 28 citing judgments.

How many judgments are there on Section 164(2)?

BharatTax indexes 51 ITAT, High Court and Supreme Court judgments that turn on Section 164(2) of the Income Tax Act, 1961.

Section 164(2) of the Income Tax Act

The decision most relied on for Section 164(2) is 1. Father Mullers Charitable Institutions 363 IT 230 (Kar.) 2. DIT(E) v. Sheth Mafatlal Gagalbhai Foundation Trust (249 ITR 533), cited in 108 of the 51 judgments on BharatTax that turn on this section.

Leading authorities on Section 164(2)

1. Father Mullers Charitable Institutions 363 IT 230 (Kar.) 2. DIT(E) v. Sheth Mafatlal Gagalbhai Foundation Trust

249 ITR 533 · 2001 · High Court

108

citing judgments

When a charitable trust violates investment provisions under Sections 11(5) or 13(1)(d), or applies income for prohibited purposes under Section 13(1)(c), the denial of exemption under Section 11 and taxation under Section 164(2) applies only to the extent of such violation or diversion, not to the entire income of the trust.

DIT v. Bharat Diamond Bourse

259 ITR 280 · 2003 · Supreme Court

citing judgments

Violation of investment mandates under Section 13(1)(d) of the Income Tax Act, 1961, for a charitable trust results in the complete denial of exemption under Section 11 of the Act.

CIT v. Fr, Mullers Charitable Institutions

51 Taxmann.com 378 · 2014 · Supreme Court

citing judgments

Income earned from investments or deposits made in violation of Section 13(1)(d) of the Income Tax Act is taxable, but only to the extent of the income so earned, not the entire corpus. Circular No. 387, dated 06.07.1994, supports this interpretation and binds the revenue authorities.

CIT v. Working Women’s Forum

365 ITR 353 · 2014 · High Court

citing judgments

When an exemption is denied under Section 13(1)(c) or (d), the denial of exemption applies only to the portion of income that violates these provisions, not the entire income.

DIT(E) v. Charanjiv Charitable Trust

43 Taxmann.com 300 · 2014 · High Court

citing judgments

A charitable trust can claim depreciation on a capital asset even if its cost was treated as application of income for charitable purposes. Allowing depreciation does not constitute double allowance.

M.N. Desai Charitable Trust v. CIT

172 ITR 382 · 1988 · High Court

citing judgments

For a donation to be eligible for exemption under Section 11, it must be voluntary and of a capital nature, intended for the corpus of the trust, rather than income derived from its application for charitable purposes. Contributions made expressly to the capital or corpus of a trust are not considered income for the purposes of Section 11.

31. In Suraj Mall Mohta and Co. v. A. V. Visvanatha Sastri

26 ITR 1 · 1954 · Supreme Court

citing judgments

Assessment proceedings before the Income-tax Officer are judicial proceedings. The assessee has a right to inspect the record and all relevant documents before being called upon to lead evidence in rebuttal.

(1) DCIT v. Working Women's Forum

235 Taxmann 516 · 2015 · Supreme Court

citing judgments

Commissioner of Income-tax, Central- Ill, Chennai v. Balaji Educational & Charitable Public Trust

56 Taxmann.com 182 · 2015 · Reported

citing judgments

CIT v. Idicula Trust Society

104 DTR 9 · 2014 · High Court

citing judgments

Judgments on Section 164(2)

DCIT(EXEMPTIONS)-1(1), MUMBAI, MUMBAI vs. ADITYA BIRLA FOUNDATION, MUMBAI

The appeals of the Revenue are dismissed

ITA 7609/MUM/2025[2017-18]Status: DisposedITAT Mumbai05 Feb 2026AY 2017-18

Bench: Shri Amit Shukla & Shri Makarand Vasant Mahadeokar & Dcit(Exemption)-1(1), Aditya Birla 6Th Floor, Mtnl Foundation, Building, Pedder Road, Vs. C-1, Aditya Birla Cumballa Hills, Centre, S. K. Mumbai-400 026 Ahiremarg, Worli, Mumbai-400 030 Pan/Gir No. Aaata0382P (Applicant) (Respondent) Assessee By Shri Ronak Doshi & Shri Surajsingh Devda, Ld. Ars Revenue By Shri Surendra Mohan, Ld. Dr Date Of Hearing 28.01.2026 Date Of Pronouncement 05.02.2026

Section 11Section 12ASection 13Section 13(1)(c)Section 13(2)(a)Section 13(3)Section 250

DCIT(EXEMPTIONS)-1(1), MUMBAI, MUMBAI vs. ADITYA BIRLA FOUNDATION, MUMBAI

The appeals of the Revenue are dismissed

ITA 7608/MUM/2025[2016-17]Status: DisposedITAT Mumbai05 Feb 2026AY 2016-17

Section 11Section 12ASection 13Section 13(1)(c)Section 13(2)(a)Section 13(3)Section 250

RAMKRISHNA BAJAJ CHARITABLE TRUST,MUMBAI vs. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE 26(1), MUMBAI, MUMBAI

ITA 6544/MUM/2025[2013-14]Status: DisposedITAT Mumbai24 Dec 2025AY 2013-14

Bench: Shri Amit Shukla, Jm & Shri Arun Khodpia, Am

For Appellant: Ms. Vasanti Patel, Adv. & MrFor Respondent: Assessee by

Section 10(34)Section 11Section 11(5)Section 12ASection 13(1)(d)Section 143(3)Section 164(2)Section 35ASection 80

SAHARA WELFARE FOUNDATION,KOLKATA vs. DCIT (EXEMPTIONS), CIRCLE - 1, KOLKATA, KOLKATA

In the result, the appeal filed by the assessee is partly allowed for statistical purposes

ITA 1492/KOL/2017[2008-09]Status: DisposedITAT Kolkata21 Nov 2025AY 2008-09

Bench: Shri George Mathan & Shri Rakesh Mishra

Section 11Section 11(2)Section 11(3)Section 12ASection 13(1)(c)Section 13(3)Section 143(2)Section 143(3)Section 164(2)Section 1l

DEPUTY COMMISSIONER OF INCOME TAX, CHENNAI vs. JAYA EDUCATIONAL TRUST, THIRUVALLUR

ITA 237/CHNY/2025[2020-21]Status: DisposedITAT Chennai17 Nov 2025AY 2020-21

Bench: Shri Manu Kumar Giri & Shri S.R.Raghunathaआयकर अपील सं./ Ita. Nos.:234, 235, 236 & 237/Chny/2025 & Co Nos.59, 60, 61 & 62/Chny/2025 (In Ita Nos. 234, 235, 236 & 237/Chny/2025) िनधा"रण वष" / Assessment Years: 2016-17, 2017-18, 2018-19 & 2020-21 Deputy Commissioner Of Jaya Educational Trust, Income Tax, Vs. No.8, Krishnapuram, Ii Main Road, Central Circle -1(2), Thiruninravur, Chennai. Thiruvallur – 602 024. [Pan:Aaatj-0369-D] (अपीलाथ#/Appellant) ($%थ#/Respondent) Assessee By : Shri. Y. Sridhar, F.C.A. Department By : Shri. Bipin C.N., C.I.T. सुनवाई की तारीख/Date Of Hearing : 26.08.2025 घोषणा की तारीख/Date Of Pronouncement : 17.11.2025 आदेश /O R D E R Per Bench :

For Appellant: Shri. Y. Sridhar, F.C.AFor Respondent: Shri. Bipin C.N., C.I.T

Section 11Section 13Section 13(1)(c)Section 250Section 40A(3)

DEPUTY COMMISSIONER OF INCOME TAX, CHENNAI vs. JAYA EDUCATIONAL TRUST, THIRUVALLUR

ITA 236/CHNY/2025[2018-19]Status: DisposedITAT Chennai17 Nov 2025AY 2018-19

For Appellant: Shri. Y. Sridhar, F.C.AFor Respondent: Shri. Bipin C.N., C.I.T

Section 11Section 13Section 13(1)(c)Section 250Section 40A(3)

DEPUTY COMMISSIONER OF INCOME TAX, CHENNAI vs. JAYA EDUCATIONAL TRUST, THIRUVALLUR

ITA 235/CHNY/2025[2017-18]Status: DisposedITAT Chennai17 Nov 2025AY 2017-18

For Appellant: Shri. Y. Sridhar, F.C.AFor Respondent: Shri. Bipin C.N., C.I.T

Section 11Section 13Section 13(1)(c)Section 250Section 40A(3)

DEPUTY COMMISSIONER OF INCOME TAX, CHENNAI vs. JAYA EDUCATIONAL TRUST, THIRUVALLUR

ITA 234/CHNY/2025[2016-17]Status: DisposedITAT Chennai17 Nov 2025AY 2016-17

For Appellant: Shri. Y. Sridhar, F.C.AFor Respondent: Shri. Bipin C.N., C.I.T

Section 11Section 13Section 13(1)(c)Section 250Section 40A(3)

KATRATHAL GRAM SEWA SAHKARI SAMITI LIMITED ,KATRATHAL vs. ITO WARD 1 SIKAR, SIKAR

ITA 1001/JPR/2025[2019-20]Status: DisposedITAT Jaipur27 Oct 2025AY 2019-20

For Appellant: Sh. Shrawan Kumar Gupta, Adv.\rFor Respondent: Shri Gautam Singh Choudhary, Addl. CIT\r

Section 139(1)Section 143(2)Section 144BSection 147Section 147rSection 148Section 148ASection 151Section 234ASection 250