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2023 (3) TMI 1163 - HC - Income TaxExemption u/s 11 - res judicata - Denial of exemption as assessee is primarily engaged in commercial activities - Scope of rule of consistency - as per AO activities carried out by the assessee during instant assessment year were not found to be covered by the limb of 'charitable purpose' as defined in section 2(15) - ITAT dismissed appeal of revenue denying the benefit of section 11 - HELD THAT:- Since primary facts affecting the claim of exemption on the strength of 'charitable purpose' pursued by the assessee remained common for all Assessment Years, as were specifically examined during the assessment proceedings for A.Y. 2010-11, as have remained unaltered throughout, it is to be seen if any different view may have been taken by the revenue authorities despite application of rule of consistency as enunciated by the Supreme Court in Radhasoami Satsang vs. Commissioner of Income Tax [1991 (11) TMI 2 - SUPREME COURT] Revenue has not pointed out any fact difference- of fact or in law having arisen in the Assessment Year in question. That aspect has not been pressed. Activity pursued by the assessee having remained same and it not being in dispute that the assessee was granted registration under Section 12 A of the Act which registration has also remained intact, it is not possible to allow the revenue to entertain another view in the subsequent Assessment Year solely because each Assessment Year is a separate unit. While none may successfully contend or invoke res judicata in taxation matters, at the same time, in absence of any difference of fundamental fact or law arising in subsequent Assessment Year and in face of the same dispute having been thrashed out inter partes in earlier Assessment Year and a definite opinion having been formed by the Tribunal for the same as had also attained finality and has been consistently applied in the case of the assessee itself (over different Assessment Years), which orders have also attained finality, the rule of consistency would commend that view to prevail, in all succeeding Assessment Years. Findings recorded by the Tribunal do not give rise to any substantial question of law - Decided against revenue.
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