CIT (Exemptions), Mumbai v. National Health & Education Society
[Citation -2020-LL-0303-51]
Citation | 2020-LL-0303-51 |
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Appellant Name | CIT (Exemptions), Mumbai |
Respondent Name | National Health & Education Society |
Court | HIGH COURT OF BOMBAY |
Relevant Act | Income-tax |
Date of Order | 03/03/2020 |
Assessment Year | 2012-13 |
Judgment | View Judgment |
Keyword Tags | books of account • profit motive |
Bot Summary: | Heard, Mr.Mohanty, learned standing counsel revenue for the appellant and Mr.S.C.Tiwari alongwith Ms. Rutuja Pawar for the respondent / assessee. Whether on the facts and in the circumstances of the case and in law, the Income Tax Appellate Tribunal erred in directing the assessing ofcer to allow exemption under Section 11 of the Income Tax Act, 1961, when though the assessee's activity of run pharmacy store is in very organized mannerand purely looking at the frequency of such trading, it can be established beyond doubt that the motive of the trust is to earn profts 2. Whether on the facts and circumstances of the case and in law, the Tribunal is justifed in allowing the claim of the assessee for exemption under Section 11 of the Income Tax Act, 1961 by ignoring the fact that the Assessing Ofcer in his order has pointed out that the assessee runs a pharmacy store in its hospital for proft motive and without appreciating the fact that the assessee's turnover from the Pharmacy store is substantial as compared to the gross receipts and so it cannot be said to incidental to attainment of main objective 3. Whether on the facts and circumstances of the case and in law, the Tribunal is justifed in allowing the claim of the assessee for exemption under Section 11 by ignoring the fact that assessee has not maintained separate book of accounts in respect of pharmacy store thus, which is one of the two mandatory conditions specifed in sec.11(4A0 of the Income Tax Act for eligibility to exemption under Section 11 or 12 in respect of this business even if the business is considered incidental to the attainment of objectives. The assessee has not complied with that particular condition as required under the law 4. Whether on the facts and circumstances of the case and in law, the Tribunal is justifed in allowing the claim of the assessee for exemption under Section 11 of the Income Tax Act, 1961 by relying upon the decision of Hon'ble Co-ordinate Bench of Tribunal in the case of Hiranandani Foundation without appreciating the fact that the Revenue has not accepted the said decision and fled appeal under Section 260A of the Act in said cse as well as in other cases and the matter is pending for adjudication before the Hon'ble High Court. Mr.Mohanty fairly submits that in respect of the assessee itself for the assessment year 2010-11, identical questions have been answered by this Court in favour of the assessee and against the revenue vide the order dated 05.02.2020 passed in ITXA No. 1772 of 2017 vs. National Health and Education Society), a copy of which has been placed before us. |