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TMI Blog2016 (12) TMI 1340X X X X Extracts X X X X X X X X Extracts X X X X ..... ould have entertained the claim of assessee as there are no restrictions in his appellate powers to entertain any claim of assessee which is not made in the return of income. This position is clearly explained by the jurisdictional High Court in the case of CIT vs. Pruthvi Brokers & Shareholders Pvt. Ltd. (2012 (7) TMI 158 - BOMBAY HIGH COURT ). Thus, respectfully following the said decision, we direct the Assessing Officer to consider the alternative claim of assessee u/s 80G of the Act in accordance with law. Expenditure incurred on wire mesh fitted on the buses plied by assessee for the school children revenue or capital expenditure - Held that:- We are of the view that the expenditure incurred by assessee on the Aluminium mesh fitte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ncome on 24.9.2009 declaring NIL income. The assessment was completed u/s 143(3) of the Act on 12.12.2011 determining the income of assessee at ₹ 42,38,240/-. When completing the assessment, Assessing Officer noticed that assessee has claimed deduction u/s 80GGA of the Act on the donation/contribution of ₹ 25 lacs paid by assessee to Research Foundation for Jainology . The Assessing Officer required the assessee to explain as to how the deduction u/s 80GGA of the Act is allowable for the reason that no deduction u/s 80GGA is allowable in a case where the gross total income includes income chargeable to tax under the head Profits and gains of business or profession . Assessee vide letter dated 4.8.2011 submitted that claim of a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that Research Foundation for Jainology was approved u/s 35(1)(iii) upto 31.3.2006 and they have applied for renewal to CBDT. The assessee contended that CBDT has rejected the application on 28.5.2008 and Writ Petition was filed against the rejection of the application. Thus, CIT(A) concluded that there is no approval u/s 35(1)(iii) of the Act granted to Research Foundation for Jainology for Assessment Year 2007-08 onwards. Therefore, he rejected the claim of assessee u/s 35(1)(ii)/(iii). The alternative claim made by the assessee by way of additional ground that the contribution of ₹ 25 lacs made to the society, Research Foundation for Jainology be allowed u/s 80G of the Act was also rejected by the CIT(A) observing that there i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ned, the learned counsel for the assessee failed to submit before us as to how the deduction is allowable in the absence of approval by the CBDT. Thus, the order of CIT(A) on this issue is sustained. However, in respect of the alternative claim of assessee that the donation paid by it to Research Foundation for Jainology is to be allowed as deduction u/s 80G, we are inclined to set aside this matter to the file of Assessing Officer to examine this issue afresh in accordance with law. CIT(A) should have entertained the claim of assessee as there are no restrictions in his appellate powers to entertain any claim of assessee which is not made in the return of income. This position is clearly explained by the jurisdictional High Court in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a current repairs to the existing asset as assessee has to take some precautionary measures for the safety of children. Therefore, Aluminium mesh was provided on the buses which transport the school children to school. The addition to asset by Aluminium mesh has no enduring benefit and is to be allowed as Revenue expenditure only. 9. We have heard the rival submissions and perused the orders of the authorities below. The Assessing Officer treated the expenditure incurred by assessee for Aluminium mesh fitted on the buses as Capital expenditure observing that it has enduring benefit, which the CIT(A) sustained. It is the submission of assessee that in order to take precautionary measures for safety of children, the school had to provide A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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