Director of Income-tax (Exemption) v. The Mumbai Metropolitan Region Development Authority (MMRDA) - 2015-LL-0121-10

Citation	2015-LL-0121-10
Appellant Name	Director of Income-tax (Exemption)
Respondent Name	The Mumbai Metropolitan Region Development Authority (MMRDA)
Court	HIGH COURT OF BOMBAY
Relevant Act	Income-tax
Date of Order	21/01/2015
Judgment	View Judgment
Keyword Tags	exemption under section 11 • local authority
Bot Summary:	This appeal by the Revenue under Section 260A of the om Income Tax Act,1961 challenges the order dated 29.6.2012 passed by the Income Tax Appellate Tribunal. The appellant-Revenue has framed the following question of law for our consideration:- Whether on the facts and in the circumstances of the case and in law, the Tribunal was right in ::: Downloaded on - 17/08/2015 15:44:56 ::: Pvr 2/3 7itxa121-13.doc confirming the order of the Commissioner of Income Tax allowing exemption under Section 11 rt of the Income Tax Act,1961, ignoring the fact that ou MMRDA continues to be local authority in the eyes of law and it cannot be considered as a valid Trust within the meaning of Sections 11 to 13 of the Income Tax C Act in view of the elaborate discussion of the issues made by the Assessing Officer and facts and circumstances of the case h 3. Ig The Tribunal by the impugned order dismissed the Revenue's appeal by placing reliance upon the decision of the Supreme Court in the H case of CIT Vs. Gujarat Maritime Board, and the decisions of Co-ordinate Benches of the Tribunal in the case of Slum Rehabilitation y Authority and Maharashtra Housing and Area Development ba Authority. While allowing the appeal, the impugned order records as under:- om 14. The facts of assessee are similar to the other two institutions considered by the Coordinate Bench, as they were also the local authority created by the Govt. Subsequently, assessees applied for exemption and got registration under section 12AA. Since the facts are similar, respectfully following the Coordinate Bench decision, we uphold the orders of ::: Downloaded on - 17/08/2015 15:44:56 ::: Pvr 3/3 7itxa121-13.doc the CIT on this issue and dismiss the Revenue Grounds. Mr.Malhotra, learned Counsel for the Revenue very fairly informs us that the Revenue's appeals against the orders of the Tribunal C passed in the cases of MHADA and SRA were dismissed by this Court by order dated 8.3.2013 and 8.8.2014 respectively.

Pvr 1/3 7itxa121-13.doc IN HIGH COURT OF JUDICATURE AT BOMBAY rt ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.121 OF 2013 ou Director of Income Tax (Exemption) ...Appellant. Vs. Mumbai Metropolitan Region Development C Authority (MMRDA). ...Respondent ..... Mr.A.R.Malhotra with Mr.N.A.Kazi with Ms.Padma Divakar, for Appellant. h Mr.S.E.Dastoor, Senior Advocate with Mr.Madhur Agarwal i/b. Mr.Atul ig Jasani,for Respondent. ...... H CORAM: M.S.SANKLECHA & G. S. KULKARNI, JJ. DATE : 21st JANUARY, 2015 y --- ba P.C.:- 1. This appeal by Revenue under Section 260A of om Income Tax Act,1961 (Act) challenges order dated 29.6.2012 passed by Income Tax Appellate Tribunal (Tribunal). B 2. This appeal relates to Assessment Year 2006-07. appellant-Revenue has framed following question of law for our consideration:- (1) Whether on facts and in circumstances of case and in law, Tribunal was right in ::: Downloaded on - 17/08/2015 15:44:56 ::: Pvr 2/3 7itxa121-13.doc confirming order of Commissioner of Income Tax (Appeals) allowing exemption under Section 11 rt of Income Tax Act,1961, ignoring fact that ou MMRDA continues to be local authority in eyes of law and it cannot be considered as valid Trust within meaning of Sections 11 to 13 of Income Tax C Act in view of elaborate discussion of issues made by Assessing Officer and facts and circumstances of case ? h 3. ig Tribunal by impugned order dismissed Revenue's appeal by placing reliance upon decision of Supreme Court in H case of CIT Vs. Gujarat Maritime Board, (295 ITR 56) and decisions of Co-ordinate Benches of Tribunal in case of Slum Rehabilitation y Authority (SRA) and Maharashtra Housing and Area Development ba Authority (MHADA). In fact, while allowing appeal, impugned order records as under:- om 14. facts of assessee are similar to other two institutions considered by Coordinate Bench, as they were also local authority created by Govt. of Maharashtra and consequent to B amendment brought out in financial year 2002 to provision of section 10(20) and 10(20A), entities become taxable. Subsequently, assessees applied for exemption and got registration under section 12AA. Since facts are similar, respectfully following Coordinate Bench decision, we uphold orders of ::: Downloaded on - 17/08/2015 15:44:56 ::: Pvr 3/3 7itxa121-13.doc CIT (A) on this issue and dismiss Revenue Grounds. Accordingly Revenue appeal is rt dismissed. ou 3. Mr.Malhotra, learned Counsel for Revenue very fairly informs us that Revenue's appeals against orders of Tribunal C passed in cases of MHADA and SRA were dismissed by this Court by order dated 8.3.2013 and 8.8.2014 respectively. h 4. ig In view of above no substantial question of law arises for H our consideration. Accordingly, appeal is dismissed. y (G. S. KULKARNI, J.) (M.S.SANKLECHA, J.) ba om B ::: Downloaded on - 17/08/2015 15:44:56 ::: Director of Income-tax (Exemption) v. Mumbai Metropolitan Region Development Authority (MMRDA)

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