For A.Y. 2014-15, the assessee filed its return declaring taxable income at NIL, it being a a local authority. However,\u00a0 in view of the amendment effected in section\u00a010(20)\u00a0of the Act with effect from April 1, 2003, the AO treated the assessee as an \u201cartificial juridical person\u201d and held that the assessee had failed to furnish the audit report, balance-sheet, profit and loss account and details of the expenses claimed in the return. On appeal, the Tribunal held that for the AY 2017-18 in the assessee\u2019s own case the A.O. and CIT (A) had accepted the stand of the assessee that it was a Local Authority for the AYs 2015-16 and 2016-17. Therefore, on identical facts, which had attained finality, the assessee was to be assessed as a local authority and its receipts were not chargeable to tax. (AY. 2014-15)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 10(20): Local authority-Change of law-For years prior to and subsequent to AY in question assessee treated as \u201clocal authority\u201d-To be assessed as local authority for year in question-Not as artificial juridical person. [S. 2(31)(vii)] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-41604","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-aP2","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/41604","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=41604"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/41604\/revisions"}],"predecessor-version":[{"id":41605,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/41604\/revisions\/41605"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=41604"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=41604"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=41604"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}