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TMI Blog2021 (4) TMI 65X X X X Extracts X X X X X X X X Extracts X X X X ..... s of the commercial condominium known as 'Brigade Plaza' under the Karnataka Societies Registration Act, 1960. The appellant - association collects funds and maintenance charges from its members and maintains the building. The dispute in the present case relates to assessment year 2015-16. 3. The assessee has filed its return of income for the assessment year 2015-16 on 19.3.2016 declaring gross total income of Rs. Nil and claiming return of Rs. 1,85,758/- on the TDS made by the deductors. The assessee has declared total income at Nil. During the year, the assessee has claimed exemption of Rs. 21,45,805/- on the income declared under the head Income from Other Sources. 4. The case of the assessee was selected for scrutiny and a not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me tax Appellate Tribunal and the same has also been rejected. The Income tax Appellate Tribunal, after taking into account the judgment delivered in the case of Bangalore Club vs. Commissioner of Income tax, reported in (2013) 29 taxmann.com 29 (SC), has dismissed the appeal. The Income tax Appellate Tribunal in its order has held as under: "5. I have considered the rival submissions. First of all, I take note of the facts in the present case. In para no. 2 of the assessment order, it is noted by the AO that the assessee has claimed exemption of Rs. 21,45,804/- being the surplus income after deducting personal expenses declared under the head Income from Other Sources. The AO has noted the nature of those incomes which are 1) Pay & Park ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee, it was held by Hon'ble Apex Court that such interest income is not governed by the doctrine of mutuality. In my considered opinion, as per this judgement, the issue involved in the present case is squarely covered against the assessee because in the present case also, the incomes in question are undisputedly earned by assessee from non-members and such earning of income is not in the course of providing certain facilities by the assessee to its members. 6. Now I examine the applicability of the judgement of Hon'ble Karnataka High Court rendered in the case of Canara Bank Golden Jubilee Staff Welfare Fund Vs. DCIT (supra) on which reliance has been placed by ld. AR of assessee. As per the facts noted in Para 5 of this ju ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t was mainly for the purpose of providing financial assistance to the members and only surplus fund kept with bank for safe custody and not for earning interest income and earning of interest income is incidental. Hence in the facts of present case, this judgement of Hon'ble Karnataka High Court is also not applicable. Hence in my considered opinion this judgement of Hon'ble Karnataka High Court rendered in the case of Canara Bank Golden Jubilee Staff Welfare Fund Vs. DCIT (supra) is not applicable in the facts of present case. 7. In view of the above discussion, I find that the judgement of Hon'ble Apex Court rendered in the case of Bangalore Club Vs. CIT (supra) is squarely applicable in the present case and as per this judg ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of mutuality relates to the notion that a person cannot make a profit from himself. An amount received from oneself is not regarded as income and is therefore not subject to tax, only the income which comes within the definition of Section 2(24) of the Act is subject to tax. 9. In the present case, the income in dispute relates to pay and park charges, rent from Vodafone Tower, rent from BSNL Tower, rent from Idea Tower and Interest from Fixed Deposit. In the first place the income i.e, pay and park charges, rent from Vodafone Tower, Rent from BSNL Tower, Rent from Idea Tower cannot be considered to be covered by the doctrine of mutuality. With regard to interest on Fixed Deposit also, the doctrine is certainly not at all applicab ..... X X X X Extracts X X X X X X X X Extracts X X X X
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