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2013 (8) TMI 324 - AT - Income TaxAddition u/s 68 - Corpus donation - Donor was a non-resident - Proof and identity of donor - Held that:- The assessee was a charitable trust and was engaged in charitable activities as held by CIT (A). This fact has been admitted by the Assessing Officer himself in the Assessment Year 2005-06. CIT (A) granted the relief to the assessee for the year under consideration for claim of exemption u/s 11 of the Act. During the year, the voluntary contribution of corpus donation was received which was clear from the computation of income submitted to the income-tax department - During the relevant period, the assessee enjoying the status of a Trust registered u/s 12A read with section 12AA of the Income-tax Act, 1961. During this period, the assessee was also enjoying the benefit of exemption under section 80G(5)(vi) of the Act. The assessee produced the all details before the Assessing Officer with regard to the corpus donations received by it - The Assessing Officer insisted for the presence of the donor which could not be done for the reason that the donor was located outside India during the relevant period. Donor was a non-resident - To strengthen the claim of the assessee regarding the genuineness of the corpus donation further documents like bank statement of the donor and ITR of donor were filed as additional evidence which had not been admitted by the CIT (A). This stand of CIT (A) was without any cogent reason. The donations were received by cheques from none other than the settler of the trust - assessee was able to discharge the onus by proving the identity of the donor and also the genuineness of the transaction. No adverse inference can be drawn regarding the capacity of the donor - Decided in favour of assessee. Exemption u/s 11 & 12 - Charitable activity or not - Held that:- assessee trust was doing charitable activities during the relevant period also. The Assessing Officer himself conducted thorough examination of the activities for the Assessment Year 2005-06 and 2007-08. There is no change in the facts for this year and the Assessing Officer has not brought out any specific instance which goes contrary to the finding of the Assessing Officer for Assessment Years 2005-06 and 2007-08 - The assessee is a trust enjoying the benefit of registration u/s 12A of the Income-tax Act, 1961 and was also granted exemption u/s 80G of the Act. The Trust was engaged in the various charitable activities during the year under consideration. During the year, the assessee trust entered into a property transaction - Decide in favour of assessee.
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