9911796707
TMI Blog2020 (10) TMI 254X X X X Extracts X X X X X X X X Extracts X X X X ..... iew of the Tribunal, then the assessee's case should have been considered as per the proviso (iia) to Section 13(1)(d) - The assessee would contend before us that the asset, not been specified investment, can be held for a period of one year from the end of previous year in which such an asset was acquired, which is the case of the assessee. Since this issue was not dealt with by the Tribunal, rather the assessee appears to have not been put on notice, the above opinion formed by the Tribunal holding that the purchase of gold by the assessee was not application of funds, but an investment in gold bullion, we find that the assessee has been put to prejudice. Therefore, they are required to be granted a fresh opportunity to put forth t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ucational institution. It has been granted registration under Section 12A of the Act. For the assessment year under consideration (AY 2010-11), the assessee filed their return of income declaring its total income as 'Nil' and claiming exemption under Section 11 of the Act. The case was taken up for scrutiny and notice under Section 143(2) of the Act was issued on the assessee on 14.09.2011. In the scrutiny assessment, certain disallowances/additions were made and the taxable income of the assessee was determined as ₹ 2,52,28,792/- by order dated 25.02.2013. Aggrieved by such order, the assessee filed appeal before the Commissioner of Income Tax (Appeals)-VII, Chennai (for brevity the CIT(A) ). By order dated 27.12.2013, the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dered as a transaction connected with the educational activity. 6. On a perusal of the above grounds raised before the Tribunal, it is seen that the stand taken by the Revenue was that the CIT(A) ought not to have held that the investment made in gold bullion is not an investment in the modes other than specified in Section 11(5) of the Act. Without examining the correctness of the said contention, the Tribunal in paragraph 8, while faulting the CIT(A) for accepting the stand taken by the assessee on the ground that there were only bald assertions, the Tribunal came to the conclusion that the purchase of gold by the assessee was not application of funds, but an investment in gold bullion and this investment is in violation of Section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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