2023 (9) TMI 404 - ITAT PUNE

Assessment of trust - contravention of provisions of section 13(1)(c) - certain amounts paid by the assessee trust to other trusts where the trustees were also interested - HELD THAT:- AO, even though discussed the issue in the body of the assessment order about the alleged contravention of section 13(1)(c) but ended up without making any specific addition in this regard. Consequently, there was no reason either for the assessee to raise this issue before the CIT(A) or the ld. first appellate authority to pass an order thereon.

In view of the fact that the AO did not make any addition on this score, we are satisfied that the ground taken by the assessee before the CIT(A) and consequently by the Revenue before the Tribunal did not require any adjudication. Consequently, the ground of the Revenue is dismissed as infructuous. The order passed u/s. 254(1) should be read in the light of the above observations.