9911796707
TMI Blog2022 (6) TMI 568X X X X Extracts X X X X X X X X Extracts X X X X ..... organizing golf tournament is concerned, the said event cannot be said to be a part of the educational activity for which the Trust is established. Therefore, so far as golf tournament is concerned the said activity is not educational activity. As regards the quantum of disallowance of golf tournament expenses is concerned, we find that the golf tournament is a separate activity carried out by the assessee Trust for which it received sponsorship of Rs. 30,17,250/- from various corporates and the same is duly reflected in the credit side of income and expenditure account of the assessee Trust and this fact has been well taken note of by the ld. AO also in the assessment order. Therefore, the excess expenditure incurred by the assessee Tr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ly filed the appeal. We find sufficient force and reasonable cause for such delay and thus, condone the same and admit the appeal for adjudication on merit. 3. The assessee is in appeal before the Tribunal raising the following grounds: 1) The Ld. Commissioner of Income Tax (Appeal) erred in the fact that the appellant has spent the fund from the institution which was over and above the sponsorship amount. In fact, out of Rs. 34,31,588/- only Rs. 4,14,608/- was spent out of own fund. 2)(a) The idea of Golf tournament was generated as part of student affairs and corporate relations. Golf Cup is student driven actually. Student sensitize the corporate about the Cup send invitation bring in sponsorship, arranges for lecture series ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the management. 3) The provisions of Section 11(4A) as mentioned in the Appeal order does not apply as organizing of Golf tournament is not a business activity. 4) Considering the various practical knowledge earned by the students in organizing the Golf Tournament the disallowance of Golf expenses amounting to Rs. 34,31,858/may be quashed. 5) The appellant reserves the right to add more grounds in the grounds of appeal on or before the date of hearing. 4. Brief facts of the case as culled out from the record are that the assessee is a charitable Trust engaged in imparting education on quality management and exists solely for educational purposes. The Trust enjoys the approval u/s 10(23C)(vi) of the Act by order dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... see exists solely for educational purposes, however, with an aim of connecting corporates and academia with the ultimate and long-standing objective in order to provide avenues for employment to students through close interaction and networking with the corporate entities, such tournament was organized. It was also stated that the assessee Trust is a management institute and the students after completing the courses work in various corporates. He, further, stated that for the said tournament sponsorship was also taken and a sum of Rs. 30,17,250/- so received has been duly credited in the income and expenditure account. It was further, prayed that though the activity was akin to the benefit of the students still ld. AO ought to have deducted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e same is duly reflected in the credit side of income and expenditure account of the assessee Trust and this fact has been well taken note of by the ld. AO also in the assessment order. Therefore, the excess expenditure incurred by the assessee Trust on the said golf tournament amounts to Rs. 4,14,608/- [sponsorship of Rs. 30,17,250/- (-) golf tournament expenditure of Rs. 34,31,858/-]. Therefore, only a sum of Rs. 4,14,608/- can be considered as the amount not spent for the objects of the Trust and we, therefore, sustain the disallowance only to this extent. Thus, the sole issue raised by the assessee in ground no. 1 to 4 is partly allowed. 13. Ground no. 5 is general in nature which needs no adjudication. 14. In the result, the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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