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TMI Blog2022 (4) TMI 1122X X X X Extracts X X X X X X X X Extracts X X X X ..... of accounts of the assessee-trust. The calculation on actual receipt of assessee made by the Ld. AO is contrary to the view of the Act. Having regard to the clear pronouncement of their Lordships of the Supreme Court [ 2000 (11) TMI 4 - SUPREME COURT] the assessee is eligible for deduction u/s. 11(1)(a) of the Act. Accordingly the grounds of the assesses are allowed. - I.T.A. No. 120/PAN/2018 - - - Dated:- 4-4-2022 - Dr. M. L. Meena , Member ( A ) And Anikesh Banerjee , Member ( J ) For the Appellant : Ketan Ved, CA For the Respondents : Rijula Uniyal, Sr. DR ORDER Per Anikesh Banerjee, JM The instant appeal was filed by the assessee against the order of the Ld. Commissioner of Income Tax(Appeals)-10, Bengaluru pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lable with the Trust for its application. The assessee trust is allowed to claim, deduction in respect of Funds not received during the year. In the case of the assessee, out of an amount of ₹ 9.95 Crores shown as Gross Receipts an amount of ₹ 8.44 Crores has not actually been received during the year. However, an amount of ₹ 0.60 Crores of the previous year has been received during the Current Year. Thus the actual receipts of the assessee Trust for the year amounts to ₹ 2.11 Crores and 15% of the same is allowed as deduction U/s. 11(1)(a) of the Income Tax Act, 1961. 4. The Ld. DR relied on the orders of the Revenue Authorities. Accordingly observation of the Ld. CIT(A) is reproduced as under: 5.3.3 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the trust or it should be its total income as determined for the purposes of assessment to income-tax. This question has to be answered in the light of these facts: The assessee-trust received donations in the aggregate sum of ₹ 2,57,376. It applied thereout for its charitable purposes the aggregate sum of ₹ 1,70,369 leaving a balance of ₹ 87,010. The question is whether the assessee is entitled to accumulate twenty-five per cent of ₹ 2,57,376 as it contends, or twenty-five per cent of ₹ 87,010, as the Revenue appeared to contend. Section 11(1)(a) reads thus: 11. (1)(a) Income derived from property held under trust wholly for charitable or religious purposes, to the extent to which such income is applied ..... X X X X Extracts X X X X X X X X Extracts X X X X
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