2013 (7) TMI 1208 - AT - Income Tax

Summary

Issues involved:
The refusal of claimed exemption u/s 10 (23C) (vi) by the Ld. CIT (A)

Judgment Summary:

The assessee challenged the first appellate order denying the claimed exemption u/s 10 (23C) (vi) on the grounds that approval for exemption was not required as the total receipts did not exceed Rs. 1 crore during the relevant financial year. The Ld. A.R pointed out the relevant provisions u/s 10 (23C) (iiiad) of the Act and Rule 2 BC (1) of the I.T Rules to support the claim. The Ld. D.R attempted to justify the lower authorities' orders. The Tribunal, after examining the provisions, agreed with the assessee that approval from the revenue was not necessary for claiming exemption u/s 10 (23C) (vi) if the gross receipts did not exceed Rs. 1 crore. The matter was remanded to the file of the Ld. CIT(A) for verification of the gross-receipts and to allow the claimed exemption if the threshold was not breached, providing the assessee with an opportunity to be heard. The appeal was allowed, and the order was pronounced on 19th July 2013.