The assessee is a registered society named as Shri Sanatan Dharam Mandir Sabha.  It runs a Sanatan Dharam Mandir at Ambica Vihar, Delhi and thus a religious society. It has neither applied nor received any registration u/s 12A of the Income Tax Act, 1961.  For the Assessment Year, the assessee filed its income tax return in ITR-7 on 26.07.2021 showing taxable income at Rs.2,18,060/-, after reducing the application of income of Rs.4,85,564/-from the gross receipt of Rs.7,03,624/-. The income was shown under the head “Income from Other Sources”. The CPC Bangalore processed the return u/s 143(1) and disallowed the expenses of Rs.4,85,564/-claimed in the return. Further the CPC, Bangalore denied the benefit of threshold limit and charged the income tax at maximum marginal rate on the gross receipt.  The assessee filed an application u/s 154 before the AO, however, rejected the application of the assessee by holding that since the status of the assessee is AOP (Trust) on which there is no threshold limit, therefore, the calculation of the tax rate at maximum marginal rate is correct. However, the AO did not elaborate regarding the disallowance of entire expenditure claimed by the assessee i.e. 143(1) by the CPC, Bangalore. On appeal the CIT(A) held that the rate applicable of the individual and denied the other deductions. On appeal the Tribunal held that adjustment made by the CPC, Bangalore, and confirmed by the ld. CIT(A) is not warranted being contrary to provisions of section 143(1) of the Act. Accordingly, the order of the Ld. CIT(A) is set-aside and the AO is directed to allow the claim of expenditure  from the gross receipt. Appeals of the assessee are  allowed.  (AY. 2013-14, 2014-15, 2015-16, 2016-17)