9911796707
TMI Blog2024 (6) TMI 1302X X X X Extracts X X X X X X X X Extracts X X X X ..... 3.2014 passed by the Commissioner for withdrawal of approval to hold that there was no question of any withdrawal of approval in absence of communication in writing by the Commissioner to the respondent-assessee. Tribunal has held that such withdrawal of approval shall take effect from the date on which such order has been passed. Therefore, presumption on which the notice was issued that the fund stands withdrawn is not tenable as the withdrawal of approval as per clause 6(a) of the Trust Deed from 10.4.2014 would not be applicable in the facts of this case. The tribunal has therefore, rightly held that on the date of notice dated 24.3.2014 for reopening of assessment, there was excess fund of Rs. 4.12 crores and the approval was granted u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... el has submitted that this appeal is filed in respect of Assessment Year 2010-2011, and pertains to ITA No. 204/Rj/2018. 3. The respondent-assessee Trust is registered under the Bombay Public Trust Act, 1950. The respondent-Trust is registered under Superannuation Scheme and was granted approval of Superannuation Fund under rule 2 (1) of Part-B of Schedule IV of the Act. 4. The Assessing Officer issued the notice under Section 148 of the Act for re-opening of the Assessment Year 2007-08 to 2010- 2011 on the basis that the excess funds do not form part of approved refund and hence is not exempt from taxation. The Assessing Officer recorded the reasons on the basis of the date of issuance of notice dated 24.3.2014. He was of the belief that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not read any retrospectivity as to the date of operation of the aforesaid order dated 31-03-2014. This is coupled with the fact that the notice for reopening of assessment has been based on an incorrect factual assumption that as on the date of issuance of notice for re-opening of assessment on 24-03-2014, the approval of the assessee stands withdrawn. However, as noted above, the approval of the assessee trust was withdrawn from 31-03-2014. Therefore, clearly, from the facts placed on record, the approval of the fund had not been withdrawn as on the date of issuance of notice for reopening of assessment. 7. Considering the above facts and applying the decision of this Court in case of Mumtaz Haji Mohamad Menon (Supra), the tribunal held th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as exempt income based on approval granted by CIT, Jamnagar on 25.1.2005 whereas order dated 31.3.2014 was passed subsequent to the issuance of notice under Section 148 of the Act. 9. Mr. Manish Shah, learned advocate appearing for the respondent-assesseee on caveat has submitted that the tribunal has taken into consideration the order dated 31.3.2014 for withdrawal of approval to clarify that prior to 2013 there was no withdrawal of approval granted and therefore, the reasons recorded by the Assessing Officer to reopen the assessment are based upon the incorrect facts that the assessee trust has deposited Rs.4.00 Lakhs as not prescribed in clause 6 (a) of Trust Deed which was claimed as exempted income. Mr. Shah, learned advocate has poin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... trustee of the fund any withdrawal of approval with the reasons for withdrawal and the date on which the withdrawal is to take effect. (4) The Commissioner shall neither refuse nor withdraw approval any superannuation fund or any part of a superannuation fund he has given the trustees of that fund a reasonable opportunity being heard in the matter. 11. Considering Rule 3 of Part B of Schedule IV of the Act, the Tribunal has taken note of order dated 31.3.2014 passed by the Commissioner for withdrawal of approval to hold that there was no question of any withdrawal of approval in absence of communication in writing by the Commissioner to the respondent-assessee. 12. The Tribunal has held that such withdrawal of approval shall take effect fr ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
