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2022 (12) TMI 785 - AT - Income TaxRevision u/s 263 by CIT - assessment of trust - vehicle in question i.e. Innova car is the sole passenger vehicle and purchase of the car was for the benefit and use of the school - actual ownership of a vehicle - whether disallowance should be made for vehicle purchased in the name of the Chairman if the vehicle is being used for the purpose of the trust? - HELD THAT:- These are undisputed facts clearly emerging from the records as so stated by the CIT(E) and we fail to understand what is the ambiguity involved and what further verification is required as so stated by the CIT(E) in the impugned order as we find that these facts adequately demonstrate that the ownership of the vehicle is with the assessee society. Therefore, on this account itself, the impugned order deserves to be set-aside. As far as usage of the vehicle is concerned, we find that the vehicle has been purchased towards the fag end of the financial year on 28/03/2017 and it has been submitted by the assessee that the Chairman who is aged 88 years has his own two vehicles in personal capacity and doesn't require any school vehicle for his personal usage and the said vehicle was not used by him rather the vehicle was used by the Principal and other staff members. CIT(E) has acknowledged the said explanation of the assessee where he held that there appears to be no evidence regarding any wrong use of the vehicle and the AO must remain cognizant that Shri. Rajinder Nath Chairman already has other vehicles in his personal name, and appears otherwise financially well-endowed and well settled. Therefore, on this account as well, the impugned order deserves to be set-aside. We are of the considered opinion that there is no justifiable basis to invoke the provisions of section 263 as the order passed by the AO cannot be held to be erroneous in so far as prejudicial to the interest of the Revenue and the order so passed by the ld. CIT(E) is hereby set-aside and that of the AO is sustained. - Decided in favour of assessee.
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