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TMI Blog2018 (5) TMI 1090X X X X Extracts X X X X X X X X Extracts X X X X ..... the Revenue is directed against the order of the Ld. CIT(A)-1, Mumbai dated 09. 09. 16 and it pertains to assessment year 2012-13. The Revenue has raised the following grounds of appeal: 1. Whether, on the facts and in the circumstances of the case and in law, the Ld CIT(A) was right in holding that the assessee performs a charitable purposes within the meaning of proviso to section 2(15) of the Income Tax Act, 1961. 2. Whether on the facts and circumstances of the case and in law the ld. CIT(A) erred in ignoring the decision, being the facts are same, the Hon'ble ITAT B Bench Mumbai in the case of Navi Mumbai Merchants Gymkhana, vide order No. ITA No. 1 96/Mum/2013 dated 21. 05. 2014, in which it has been held that the club is not a charitable organization within the meaning of section 2(15) of the Income Tax Act, 1961. 3. Whether, on the facts and in the circumstances of the case and in law, the Ld CIT('A) erred in directing to allow exemption u/s 11 to the assessee when the activities of assessee are akin to those of a mutual association and do not fall within the definition of Charitable purpose as per Section 2(15) of the Income Tax Act, 1961. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ncome Tax Act, 1961. The AO, though, accepts the fact that the ITAT has granted the benefit of exemption under section 11 of the Act for the earlier years, denied the benefit of exemption claimed under section 11 and allowed the benefit of mutuality in respect of assessee s main activity. However, computed business income in respect of income generated from hiring and royalty and other services on the ground that the department has not accepted the orders of the ITAT and has preferred further appeal before the Hon ble Bombay High Court which are pending for adjudication. 3. Aggrieved by the assessment order, the assessee preferred an appeal before the Ld. CIT(A). Before the Ld. CIT(A) the assessee reiterated its submissions made before the AO to argue that it is engaged in the activity of promoting sports which comes within the meaning of charitable purposes as defined under section 2(15) of the Act, under third limb i. e. any other object of general public utility and which has been accepted by the ITAT for earlier years and allowed the benefit of exemption claimed under section 11 of the Income Tax Act, 1961. The Ld. CIT(A) after considering the relevant submissions of the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ribunal in the case of appellant the appellant is entitled to exemption under section 11 of the Income tax Act. Therefore ground no. 1 is allowed. The above findings of the CIT(A) were upheld by Hon. TAT vide order dated 2. 3. 2015 observing as under :- 5, We have carefully perused the orders of the authorities below and the relevant decision of the Tribunal in ITA No. 6621/M112 for A. Y. 2008-09. We find force in the contention of the Ld. Counsel. The issues involved in the year under consideration were also there before the Tribunal in A. Y, 2008-09. We find that the Tribunal has followed the order of the Hon'ble Jurisdictional High Court in assessee's own case for the assessment year 2003-04 vide order dt. 14. 2. 2012 and finally concluded that the assessee's claim that it is entitled for exemption u/s. 11 has been upheld from the stage of High Court. 6. Now that it has been held that the assessee is a charitable institution and duly recognized u/s. 12A therefore, the income has to be computed in accordance with the provisions of Sec. 11 of the Act. Respectfully following the earlier years order, we direct the AO to compute the total income of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le Bombay High Court for assessment year 2003-04 in Income Tax Appeal No. 6301 of 2010 dated 14. 02. 12 wherein under similar facts and circumstances the benefit of exemption under section 11 of the Act has been allowed. 6. We have heard both the parties and perused the materials available on record. We find that the co-ordinate bench of ITAT, Mumbai G-Bench in ITA No. 2139/M/2016 for assessment year 2011-12 has allowed the benefit of exemption under section 11 of the Income Tax Act, 1961. The relevant portions of the ITAT s order is reproduced herein under: 7. Learned AR placed on record the order of Tribunal in assessee's own case for the A. Y. 2010-11 dated 23/09/2015, wherein similar claim of assessee was allowed by dismissing the Revenue's appeal. Respectfully following the order of the Tribunal in assessee's own case, we do not find ITA No. 2139/Mum/2016 Goregaon Sports Club any infirmity in the order of CIT(A) for allowing assessee's claim of exemption u/s. 11 r. w. s. 2(15) of IT Act . 7. The Hon ble Bombay High Court in the case of DIT (Exemption) vs. Goregaon Sports Club (2012) 347 ITR 338 (Bom. ) has held that providing sports facilitie ..... X X X X Extracts X X X X X X X X Extracts X X X X
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