TMI Blog2013 (12) TMI 1157X X X X Extracts X X X X X X X X Extracts X X X X ..... tion under Section 11 of the Act for Assessment Year 2008-09 - Decided against Revenue. - ITA (L) No.1560 of 2013 - - - Dated:- 3-12-2013 - Mohit S Shah And M S Sanklecha, JJ. For the Appellant : Mr Vimal Gupta, Senior Adv. For the Respondent : Mr Mihir Naniwadekar JUDGEMENT:- PC: In this appeal under Section 260A of the Income Tax Act, 1961 ( the Act ), the revenue has challenged the order dated 25 April 2013 passed by the Income Tax Appellate Tribunal (Tribunal) in relation to Assessment Year 2008-09. 2. The following questions of law have been raised by the revenue in the appeal memo for our consideration: (1) Whether, on the facts and in the circumstances of the case and in law, the Incometax Appellant Tri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... had committed breach of the conditions of exemption under Section 13(1)(d) of the Act. 5. In appeal, CIT (Appeals) by order dated 6 November 2012 also upheld the order of the Assessing Officer. 6. On further appeal, the Tribunal by the impugned order allowed the appeal of the respondent assessee and the Tribunal by the impugned order held that the aforesaid shares in the cooperative banks were compulsorily required to be taken in order to avail of the loan facility from the said cooperative banks. These loans raised from the cooperative banks have been utilised for construction of buildings for schools, colleges, hostels, etc. which is for furtherance of objects of assessee trust. It was held that the shares of cooperative banks were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cooperative banks. Further, merely because the shares were shown as investment in the balance sheet, the same would not be an investment as normally understood. Besides, in the earlier years the balance sheet did reflect the same as investment, but all along the exemption granted in favour of the assessee has not been disturbed. Moreover, in the subsequent Assessment Years 2009-10, 2010-11 and 2011-12 on same set of facts the revenue has not disturbed the exemption under Section 11/12 of the Act. Besides, as the share subscription amount was quite miniscule in the context of the loan obtained, the Tribunal was justified in allowing the appeal in favour of the assessee. 9. We find that the only basis of the revenue seeking to deny the bene ..... X X X X Extracts X X X X X X X X Extracts X X X X
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