TMI Blog2021 (10) TMI 830X X X X Extracts X X X X X X X X Extracts X X X X ..... ourt in case of DIT (Exemption) Vs. Indraprastha Cancer Society [ 2014 (11) TMI 733 - DELHI HIGH COURT] wherein it has been held that the assessee is eligible for depreciation in the case of charitable or religious institutions also. As regards the amendment to Section 11 which is effective from AY 2015-16 and subsequent years, the depreciation has to be allowed in relation to income from property which are in respect of charitable purposes. As in case of CIT vs. Rajasthani Gujarati Charitable Foundation Poona [ 2017 (12) TMI 1067 - SUPREME COURT] held that the depreciation in respect of cost of the assets allowed to the assessee as expenditure is allowable. The issue contested by the Revenue is squarely covered against the Revenue in l ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the case and in law, Ld. CIT(A) has erred in allowing the benefit of exemption u/s. 11 12 of the Act ignoring the fact that the assessee society was involved in violating the rules/guidelines framed in the matter. 4. On the facts and in the circumstances of the case and in law, Ld. CIT(A) has erred in allowing the appeal of the assessee ignoring the fact that in the case of charitable or religious institutions, the assessee is not eligible for any type of depreciation as the entire expenditure for the purchase of capital assets is allowed as a deduction and the same is treated as application of income u/s. 11(1) and claiming depreciation on the same capital assets is a double deduction and is not as per law as these capital assets a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of depreciation amounting to ₹ 21,61,384/-, the Ld. AR relied upon the order of the CIT(A) as well as the decision of the Hon'ble High Court in case of DIT Vs. Indraprastha Cancer Society and Rajasthani Gujarati Charitable Foundation Poona (2018) 402 ITR 441 (SC). 6. The Ld. DR relied upon the assessment order for all the issues contested by the Revenue. 7. We have heard both the parties and perused the material available on record. As regards Ground No. 1 to 3, during the course of assessment, the development fund receipts amounting to ₹ 88,15,915/- were directly taken to the balance sheet as liability and the same were added back. As per the direction of the Directorate of Education, the school is entitled to coll ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
