The assessee, a charitable institute, received certain donations that were either placed in fixed deposits or bank accounts, accruing interest. The Assessing Officer contended that this income was not utilized for the purposes specified in the Act and that contributions made to CIMS Hospital were in contradiction with provisions, as CIMS Hospital was neither registered under Section 12AA nor covered under Section 10(23C). The High Court held that there was no material or evidence for the Assessing Officer to conclude that the assessee had violated Section 11(3)(d). Consequently, the issuance of notice under Section 148 was quashed and set aside. The Supreme Court, after reviewing the facts and circumstances, dismissed the Special Leave Petition (SLP). (AY. 2016-17)
DCIT v. Areez Khambatta Benevolent Trust [2024] 161 taxmann.com 528 / 462 ITR 3 /299 Taxman 182 (SC) Editorial : Areez Khambatta Benevolent Trust v. Dy.CIT(2019) 415 ITR 70/ (2020) 191 DTR 326 /(2024) 161 taxmann.com 527 (Guj)(HC)
S. 147 : Reassessment-With in four years-General allegation-No violation of provisions of S. 11(3)(d)-Charitable purpose-Donation to hospital-No violation of provisions of sections 11(2), 11(3)(d) of the Act-SLP of Revenue is dismissed, order of High Court quashing the reassessment notice is affirmed. [S.10(23C), 11(2), 11(3(d), 12AA, 148, Art. 136]