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2013 (1) TMI 317 - HC - Income TaxAssessment of trust - exemption u/s 11 - Claim for accumulation of income rejected - Form-10 had not been furnished along with the return but was filed during the course of the assessment proceedings - whether Form-10 could be furnished for the purposes of Section 11 of the said Act during the re-assessment proceedings? - Held that:- As decided in CIT Vs. Nagpur Hotel Owners Association [2000 (12) TMI 99 - SUPREME COURT] it was necessary that the assessing authority must have the information under Form-10 at the time he completes the assessment and in its absence it is not possible for the assessing authority to give benefit of such exclusion. Furthermore, once the assessment is so completed it would be futile to find fault with the assessing authority for having included such income in the assessable income of the assessee. Thus without the particulars of this income as given in Form-10, the assessing authority cannot entertain the claim of the assessee under section 11 and therefore, compliance with the requirement of the Act will have to be at any time before the assessment proceedings are completed. Any claim for giving the benefit of section 11 on the basis of information supplied subsequent to the completion of assessment would mean that the assessment order will have to be reopened. The Supreme Court noticed that the Act did not contemplate such re-opening of the assessment. The revenue relied on this portion of the finding of the Supreme Court to contend that during re-assessment proceedings, the said Form-10 could not be furnished by an assessee.However, the fact has to be kept in mind that while reopening of an assessment cannot be asked for by the assessee on the ground that he had not furnished the Form-10 during the original assessment proceedings, this does not mean that when the revenue re-opens the assessment by invoking Section 147 the assessee would be remediless and would be barred from furnishing Form-10 during those assessment proceedings - question answered in favour of the assessee in appeal No.s 524/2012, 525/2012 and 526/2012. With regard to the ITA No.523/2012 because the Form-10 was filed only before the Tribunal, the question has to be decided against the assessee and in favour of the revenue.
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