The Appellate Tribunal considered the issue of exemption u/s 11 regarding the non-utilization of 85% of...

The Appellate Tribunal considered the issue of exemption u/s 11 regarding the non-utilization of 85% of grants-in-aid received during the year. The Tribunal found that the assessee, a statutory body, followed proper accounting procedures treating grants as liabilities until utilized by implementing agencies. The Assessing Officer's objection to the accounting method was deemed incorrect as the assessee's treatment of income and expenditure was consistent and valid. The principle of res judicata was discussed, emphasizing that each tax year is independent. The Tribunal upheld the assessee's compliance with accounting standards and rejected the Revenue's claim that the investment in equity shares violated section 13(1)(d). The Revenue's appeal was dismissed. .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X