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TMI Blog2018 (2) TMI 732X X X X Extracts X X X X X X X X Extracts X X X X ..... pinion, this difference is not material because spreading spirituality was not considered to be a religious activity in that case as can be seen in Para 15 of that judgment reproduced above - Decided in favour of the assessee. - ITA No. 1910/Bang/2017 - - - Dated:- 24-1-2018 - Shri Arun Kumar Garodia, Accountant Member Appellant by : Shri T. Srinivasa, CA Respondent by : Smt. Swapna Das, JCIT (DR) ORDER Per Shri A.K. Garodia, Accountant Member This appeal is filed by the assessee which is directed against the order of ld. CIT (A) 14, LTU, Bangalore dated 30.06.2017 for Assessment Year 2011-12. 2. The grounds raised by the assessee are as under. 1. The impugned order passed by the learned Commissioner is unjust and illegal being to contrary to facts and circumstances as well as the binding decisions on the issue. 2. The Learned Commissioner is not justified in confirming the order passed by the learned assessing officer , ignoring the submissions made by the appellant. 3. The Learned Commissioner ought to have appreciated that the voluntary contributions received by the Appellant were covered under exceptions covered under sub-section ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... luded from the provisions of sec 115BBC relevant extract of which is reproduced herein below: 115BBC(2) ''The provisions of sub section (1) shall not apply to any anonymous donation received by (a)any trust or institution created or established wholly for religious and charitable purpose 3) The Learned Assessing Officer, ought to have followed the Board circular No 14/28-12-2006 (Copy of the said Circular is enclosed Annexure - A), wherein vide Para 25.2 it has been clarified as under. With view to prevent channelization of unaccounted money to these institution by way of anonymous donations , a new section115BBC has been inserted to provide that any income a wholly charitable trust or institution by way of anonymous donation shall be included in its total income and taxed at the rate of 30%. Anonymous donation made to wholly charitable and religious trust or institution, i.e. mixed purpose trust or institution shall be taxed only if it is for any university or other educational institution or any hospital or other medical institution run by them. Anonymous donation to wholly religious trusts or institution will not be taxed. 4) The appellant re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mitted that these judicial pronouncements are not applicable in the facts of the present case. She drawn my attention to Para no. 11 of the order of CIT(A) and submitted that a clear finding has been given by CIT(A) in this Para that full details of identity and address of the donors are not available. 6. I have considered the rival submissions. The relevant objects of the assessee trust are reproduced by AO on page no. 2 of the assessment order in Para no. 6 which are reproduced herein below for the sake of ready reference. a. To establish, maintain, run, develop, improve, extend, grant, donate for and to aid in the establishment, maintenance, improvement and extension of schools, colleges and other educational instiutions and ananthashrama. b. to maintain, establish run, develop, improve, extend, grant donate for old age home and home for deaf and dumb, and also to establish maintain, run, improve extend, grant, donate for hospitals. c. To help the poor and needy and the deserved in general and especially in respect of their food, clothing, providing shelter and health including all types of medical aid and payment of hospital charges etc., and also to conduct ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntributions to institutions, establishments centres of persons doing relief work on such occasions. .... .... .... .... .... (xiv) To open found, establish, manage, promote, set-up, run, maintain, assist, finance, support and/or help in the setting up and/or maintaining and/or running schools, colleges, arts and science medical, para medical and technical, lecture halls and other establishments or institutions etc. for advancement of education and knowledge in arts, science, literature, humanities and all other useful subjects in all their manifestation. .... .... .... .... .... (xvii) To promote, organize, administer, establish support maintain and/or grant and to person institution or society or organization is ever having for the objects of charitable purpose and to incur expenditure in connection therewith. 5. In the impugned order dated 20th August 2014 the ITAT while allowing the Assessee‟s appeal concluded, after discussing the relevant clauses of the Trust Deed as well as the decision of the Supreme Court in Commissioner of Income-Tax v. Dawoodi Bohra Jamat (2014) 364 ITR 31 (SC), that the AO and CIT had proceeded on a very narrow and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... institution. The activities described by the Assessee as having been undertaken by it during the AY in question can be included in the broad conspectus of Hindu religious activity when viewed in the context of the objects of the Trust and its activities in general. 10. In the present case, as per the objects clauses reproduced by the AO and also reproduced above in Para 6, this is also an object of the assessee to establish and maintain anathashrama , old age home home for deaf and dumb and to render all sorts of help to the poor and needy including conducting of marriage and mass marriage. These objects are similar to the objects of the assessee trust in the case of judgment of Hon ble Delhi High Court rendered in the case of CIT (E) Vs. Bhagwan Shree Laxmi Naraindham Trust (supra) as reproduced in Para 8 above except this that in that case, this was also an object that the assessee trust will arrange spiritual lectures but in the present case, there is no such object. But in my considered opinion, this difference is not material because spreading spirituality was not considered to be a religious activity in that case as can be seen in Para 15 of that judgment reproduc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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