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TMI Blog1985 (4) TMI 134X X X X Extracts X X X X X X X X Extracts X X X X ..... he trust had not been utilised for the charitable purposes. The amount of donation was Rs. 56,256 and the amount of interest received was Rs. 4,120. The assessee had pleaded that the donations received were all for the corpus of the trust and, therefore, was exempt under the provisions of section 12 of the Act. The ITO did not agree to this and in his assessment order, he set out an extract from the letter of the Commissioner, dated 15-9-1980. He, therefore, made in assessment on the assessee. The assessee appealed and the AAC stated that it was essential for a donation towards the corpus that the consent of the donors in writing has to be obtained and this was not done in the present case. Therefore, there were no specific directions that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s due. 4. We have considered the rival submissions. The provisions of section 12 read as under : " Any voluntary contributions received by a trust created wholly for charitable or religious purposes or by an institution established wholly for such purposes (not being contributions made with a specific direction that they shall form part of the corpus of the trust or institution) shall for the purposes of section 11 be deemed to be income derived from property held under trust wholly for charitable or religious purposes and the provisions of that section and section 13 shall apply accordingly. What we have to decide in the present case is whether the contributions in question had been made with a specific direction that they shall form ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... but they were also considered unacceptable because the certificates could not be considered as directions by the donors at the time they made the donations. There was, therefore, as found by the revenue itself, independent corroboration in the form of certificates, regarding the statements in the receipts. The issue, therefore, boils down to decide whether the statement in the receipts granted by the assessee that the donations were towards the corpus only, would be sufficient to hold that the contributions in question were made with a specific direction that they shall form part of the corpus of the trust. In CIT v. Bijli Cotton Mills (P.) Ltd. [1979] 116 ITR 60 (SC), the question arose whether certain amounts received by the assessee and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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