2014 (8) TMI 944

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..... y, etc. The Assessing Officer did not give any details, i.e., who are the beneficiaries relating to the executive members and who are the executive members getting benefits from the assessee-society. No other details have been furnished by the Assessing Officer in the assessment order except for stating that the assessee-society is giving benefit to the executive members of the society which is a bald statement without any details. The assessee also submits that relatives of executive members are paying market rent to the assessee-society for the use of let out property. Taking the totality of the facts and circumstances of the case into consideration, we are of the considered view that this issue has to be examined afresh in detail by the .....

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..... that some of the trust properties were occupied by the executive members as well as their relatives for rent. The Assessing Officer also came to know that the assessee passed resolution to grant preferential benefits to society members instead of the public at large. The Assessing Officer was also of the view that most of the benefits like medical aid, marriage aid, old age pension, let out property, etc. are enjoyed by the society members. Therefore, the Assessing Officer concluded that benefit had ensured to the interested persons as defined under section 13(3), the transactions held to be in violation of section 13(1)(c) of the Act and exemption under section 11 was denied. On appeal, the Commissioner of Income-tax (Appeals) held that t .....

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..... e assessee-society but only about enhancement of existing limit for marriage aid from ₹ 15,000 to ₹ 20,000. Counsel further submits that by and large the benefits of the society are all utilised for general public and very few relatives of executive members are tenants of societies property who are all paying market rent and there is no violation under section 13(2)(b) of the Act as they are paying adequate rent. Counsel for the assessee supports the order of the Commissioner of Income-tax (Appeals) in allowing exemption under section 11 of the Act. 5. Heard both sides. Perused orders of the lower authorities. The Assessing Officer in the course of assessment proceedings noticed that the assessee- society has given benefits t .....

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