9911796707
TMI Blog1979 (4) TMI 45X X X X Extracts X X X X X X X X Extracts X X X X ..... C in holding that the amount of Rs. 25,000 representing donation received from Goulechha Charitable Trust was not assessable in the hands of the assessee. The AAC excluded this income as he found that this donation was received towards the corpus of the trust. There was a definite direction from the donors that the donation was to be utilized towards the corpus and not towards the normal day to da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the position was the same. He drew our attention to the decision of the Allahabad High Court in the case of Sri Dwarkadheesh Charitable Trust vs. ITO(1). In this case it was held that voluntary contributions made with a specific direction that they shall form part of the corpus of the donee trust do not constitute income within the meaning of s.12(1) of the IT Act, 1961 because the subject matter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entitled to exemption under s. 11. The Department has also challenged the action of the AAC in admitting additional evidence. The ITO had found that during the relevant previous year the assessee received interest from Agro-based Industry Private Limited. It was found that the assessee had given Rs. 25,000 to that concern as loan on an interest of 12 per cent. However, there was no security in re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... were additional evidence. It was submitted that before the ITO, opportunity had been given to the assessee to explain the reason for not including above amount to the assessee's income. The counsel for the assessee, on the other hand, submitted that the provisions of s.13(2)(a) came into force from 1st April, 1971. It was further pointed out that these transactions were completed much before that ..... X X X X Extracts X X X X X X X X Extracts X X X X
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