9911796707
TMI Blog2024 (6) TMI 337X X X X Extracts X X X X X X X X Extracts X X X X ..... ecified in section 11(5) of the Act is not applicable to AY 2018-19 i.e. AY under consideration. Therefore, it is abundantly clear that authorities below are erred in invoking the provisions of section 11(1)(d) which is not legally sustainable. Accordingly, we hold that authorities below have erred and the orders of the authorities below are set aside. Hence, the issue is decided in favour of the assessee. - Shri Shamim Yahya, Accountant Member And Shri Yogesh Kumar Us, Judicial Member For the Assessee : Shri Ved Jain, Advocate, Shri Aman Garg, CA For the Revenue : Ms. Parul Singh, Sr. DR ORDER PER SHAMIM YAHYA, ACCOUNTANT MEMBER : This appeal by the assessee is directed against the order of the ld. CIT (Appeals)/National Faceless Appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pply prospectively and thus, not applicable to the current assessment year. 3. Brief facts of the case are that the assessee is a registered trust under section 12A of the Income-tax Act, 1961 (for short the Act ) and during the year under consideration, it has received purpose fund of Rs. 1 crore from Novartis Healthcare Pvt. Ltd. Assessee filed its return of income and corpus fund of Rs. 1 crore received during the year was duly reflected in Schedule I Corpus fund of the audited financial statement, Part B-II-Voluntary Contribution forming part as per section 11(1)(d) of the Act and computation of income. AO (CPC) processed return of income of the assessee and treated the corpus fund of Rs. 1 crore received during the year as income from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... us fund of Rs. 1,00,00,000/- received during the year at Schedule 1- Corpus fund of the Audited Financial statement (PB Pg.73) Part B-TI- Voluntary Contribution forming part as per section 11(1)(d) of the Act (PB Pg.13) Computation of Income (PB Pg.3) 15. It is also submitted that CIT(A) in para 5.1 of his order, while confirming the addition made by AO(CPC) has relied upon the amended provisions of section 11(1)(d) of the Act which was introduced by Finance Act,2021 and was made applicable from 01.04.2022. Memorandum of Finance Bill, 2021 (PB Pg.115- 117). 16. Hence, the amendment to section 11 (1)( d) of the Act which makes it mandatory for assessee to invest or deposit voluntary contribution received during the year in or more forms spec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... they shall form part of the corpus of the trust or institution [subject to the condition that such voluntary contributions are invested or deposited in one or more of the forms or modes specified in sub-section (5) maintained specifically for such corpus]. 9. Thus, the amendment to section 11(1)(d) which makes it mandatory to assessee to invest or deposit voluntary contribution received during the year in one or more forms specified in section 11(5) of the Act is not applicable to AY 2018-19 i.e. AY under consideration. Therefore, it is abundantly clear that authorities below are erred in invoking the provisions of section 11(1)(d) which is not legally sustainable. Accordingly, we hold that authorities below have erred and the orders of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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