9911796707
TMI Blog2016 (11) TMI 1557X X X X Extracts X X X X X X X X Extracts X X X X ..... perusal of the Income & Expenditure account, for year ending 31.03.2012 found that revenue grants on income side have been shown after reducing the amount utilized for capital expenditure. No further expenditure has been debited. These finding of facts recorded by ld. CIT(Appeals) have not been rebutted in any manner. Further the amounts spent by assessee are clearly application of its income in nature which have been spent to achieve the objects of the assessee. Further, when assessee has been granted approval under section 10(23C)(iv) of the Income Tax Act and exemption is available to the assessee, there is no question of disallowing any amount of this nature. - Decided against revenue X X X X Extracts X X X X X X X X Extracts X X X X ..... ar under consideration, the assessee was having income of ₹ 15,15,89,376/- but after claiming exemption under section 10 (23C)(iv) of the Act, assessee showed 'nil' income in the return of income. The Assessing Officer asked the assessee to furnish certificate of approval of prescribed authority under section 10(23C)(iv) of the Income Tax Act and was asked to explain why the deduction claimed in above provisions should not be disallowed as no approval from competent authority was available with the assessee. The Assessing Officer noted that the assessee's claim for grant of exemption was rejected by the CCIT, Panchkula. Further, similar claims for assessment year 2006-07 to 2011-12 have been rejected under section 143 (3) of the A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oval has been granted under section 10 (23C)(iv) of the Act would mean that approval have been granted and is valid until withdrawn. The exemption is, therefore, available to the assessee in assessment year 2012-13 under appeal. The Assessing Officer was, therefore, directed to allow exemption under section 10(23C)(iv) of the Act. These grounds were, accordingly, allowed. 6. After considering rival submissions, we do not find any merit in these grounds of appeal of the revenue. It is well settled law that Board's circulars are binding on Income Tax authorities. The ld. CIT(Appeals), therefore, correctly relied upon Board's circular No. 7/2010 for the proposition that once approval under section 10(23C)(iv) have been granted to the assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppeals), on perusal of the Income & Expenditure account, for year ending 31.03.2012 found that revenue grants on income side have been shown after reducing the amount utilized for capital expenditure. No further expenditure has been debited. These finding of facts recorded by ld. CIT(Appeals) have not been rebutted in any manner. Further the amounts spent by assessee are clearly application of its income in nature which have been spent to achieve the objects of the assessee. Further, when assessee has been granted approval under section 10(23C)(iv) of the Income Tax Act and exemption is available to the assessee, there is no question of disallowing any amount of this nature. This ground is accordingly, dismissed. 10. In the result, appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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