Assessee, a charitable trust exemption u/s. 11 is allowed in the original assessment  proceedings. The assessment was reopened on the grounds that assessee had received UK based bequest of certain amount which was credited to assessee’s Sri Lanka based bank account and same was entitled to be treated as income of assessee as same was neither claimed for exemption under S. 11(1) nor set apart under S. 11(2). The   Assessee contended that it was not in receipt of impugned sum since due permission seeking transfer of impugned sum to India was still pending and, therefore, above sum was wrongly treated as taxable income of assessee. Allowing the appeal the Tribunal held that the amount in question was lying in treasury of bank at Sri Lanka and the Assessee’s request seeking its transfer to India was pending till date. Accordingly  London based bequest transfer to Sri Lanka of assessee could not be considered as income of assessee and, therefore, impugned reopening was unjustified. (AY.2007-08)