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December 2024

Ss. 166, 160, 246A — Where the assessment order was framed in the case of the sole beneficiary of the private discretionary trust, appeal against the order could be filed by the beneficiary only and not by the trust.

By Jagdish T Punjabi, Chartered Accountant
Devendra Jain & Aditya Bhatt, Advocates
Reading Time 2 mins

57 (2024) 167 taxmann.com 378 (Raipur Trib)

Kajal Deepak Trust vs. ITO

ITA No.:70 (Rpr.) of 2024

A.Y.: 2017-18

Dated: 21st August, 2024

Ss. 166, 160, 246A — Where the assessment order was framed in the case of the sole beneficiary of the private discretionary trust, appeal against the order could be filed by the beneficiary only and not by the trust.

FACTS

A minor was the sole beneficiary of the assessee-trust (a private discretionary trust) in which her father and mother were the trustees. The minor filed her return of income for AY 2017-18.

During the course of assessment proceedings of the minor, the AO observed that during the demonetization period, cash deposits of ₹9 lakhs were made in the bank account of the trust. The minor submitted that the cash deposits were made out of accumulated cash gifts received from her friends / relatives in the preceding years. The AO was not satisfied with the explanation and made additions under section 69A in her hands.

Although the assessment was

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