2019 (6) TMI 1100

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 9;s fund in favour of the assessee, the Tribunal refrained from deciding the assessee's contention that the receipt was not taxable at all. In view of the fact that the Tribunal has rested its judgment only on the assessee's alternative contention and as pointed out by the learned counsel for the assessee that it may happen that this ground may fail on account of future developments, it is necessary that the assessee must get an answer to its primary contention of the receipt not being taxable at all. Under these circumstances, we request the Tribunal to decide this issue on merits. For this limited purpose, we place the proceedings back before the Tribunal for deciding this question in accordance with law. We have not expr .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ed such income, the same would be exempted from tax in terms of Section 11(2) of the Income Tax Act, 1961 ( the Act for short). The Assessing Officer having taxed the income, the assessee carried the matter in appeal. The Commissioner decided both the issues against the assessee upon which the assessee approached the Tribunal. The Tribunal, by the impugned judgment, held the alternative contention of the assessee in favour of the assessee and resultantly was of the opinion that it was not necessary to decide the question of very taxability of the income. Relevant portion of the Tribunal's judgment reads as under:- ... In our considered view, the assessee - trust is entitled for the benefit of accumulation of funds u .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... frained from deciding the assessee's contention that the receipt was not taxable at all. 5. Learned counsel for the assessee pointed out that if the assessee is unable to utilize the fund for a period of five years, the benefit of exemption would stand withdrawn. He stated that subsequent events would lead to this possibility. It is, therefore, important for the assessee to press for the main ground of the receipt not being taxable at all. 6. In view of the fact that the Tribunal has rested its judgment only on the assessee's alternative contention and as pointed out by the learned counsel for the assessee that it may happen that this ground may fail on account of future developments, it is necessary that the asses .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X