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December 2009

Exemption u/s.11 of Income-tax Act, 1961 : A.Y. 2003-04 : Exemption cannot be denied on the ground that it is not a trust: Filing of Form No. 10 : Revised form can be filed before completing assessment.

By K. B. Bhujle, Advocate
Reading Time 2 mins

New Page 1

Reported :


  1. Exemption u/s.11 of Income-tax Act, 1961 : A.Y. 2003-04 :
    Exemption cannot be denied on the ground that it is not a trust: Filing of
    Form No. 10 : Revised form can be filed before completing assessment.

[CIT v. Simla Chandigarh Diocese Society, 318 ITR 96
(P&H)]

The assessee, a charitable society, claimed exemption
u/s.11 r.w. S. 12(1) of the Income-tax Act, 1961. The Assessing Officer
declined the claim on the ground that the assessee was a society and not a
trust. The Assessing Officer also raised objection that revised Form No. 10
was not furnished with the return. The Tribunal allowed the assessee’s claim.

On appeal by the Revenue, the Punjab and Haryana High Court
upheld the decision of the Tribunal and held as under :

“(i) The assessee could not be denied exemption u/s.11 of
the Act on the ground that it was not a trust but a society.

(ii) The Commissioner (Appeals) had observed that the
assessee modified Form No. 10 in the course of assessment proceedings. The
modified Form No. 10 has been rejected by the Assessing Officer on the
ground that there was no provision in the Act for revising Form No. 10. It
was held that there was no specific bar prohibiting the assessee from
modifying the figure of accumulation. Form No. 10 could be furnished before
the assessing authority completes the concerned assessment.”

 

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