9911796707
TMI Blog1998 (12) TMI 81X X X X Extracts X X X X X X X X Extracts X X X X ..... 56(2) of the Income-tax Act (hereinafter referred to as "the Act"), to prepare the statement of the case and refer the two questions. The questions which have been so referred in pursuance of the order of this court are given below : "(1) Whether, on the facts and in the circumstances of the case, the Tribunal having held that the assessee have fulfilled all the conditions laid down in section 35CCA of the Income-tax Act, 1961, read with rule 6AAA of the Income-tax Rules for deduction of the amount donated to the approved society, which had not come back to the assessee soon after or later on in some form or the other, that the Tribunal was justified in law in restoring the matter to the Assessing Officer on the reasons and grounds given i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... withdrawn with retrospective effect, the assessee could not claim the deduction. It was further held that the donation amount given by the assessee came back from the society to the assessee and, therefore, it was not entitled to claim the deduction. An appeal was carried to the appellate authority which on the same reasoning affirmed the order of the assessing authority. On further appeal to the Tribunal, it was held by an exhaustive judgment that the approval could not be withdrawn by the prescribed authority with retrospective effect. The Tribunal was also of the view that there was no evidence or material to come to the conclusion that the money donated by the assessee reverted back to it. After recording the findings in favour of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was utilised for the purpose for which it was donated. The registration of the society for integrated rural development was a sufficient representation to the assessee that it could donate the money and that it would not be required to see that the same was being utilised for the approved programme. If such an interpretation is given by a court of law, the assessee would be facing several problems. The law never intended to place the assessee in such a situation. The view taken by the Calcutta High Court in CIT v. Bhartia Cutler Hammer Co. [1998] 232 ITR 785 completely covers the present case. It has been held in Bhartia Cutler Hammer Co.'s case [1998] 232 ITR 785 (Cal) that under section 35CCA of the Act if an assessee has incurred any e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1, 1983, and the training of persons for implementing any programme of rural development had been started by the association or institution before March 1, 1983. Held, on the facts, that the deduction under section 35CCA could not be disallowed on the ground that either the two institutions were not traceable after notices were issued to them under section 131 of the Income-tax Act, 1961, or that the two institutions were actually not carrying out the rural development work as was envisaged under section 35CCA of the Act and for which approval had been granted by the prescribed authority to the two institutions under the section. It was no part of the assessee's obligation to either keep track of the movement of the institutions or to find ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
