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2021 (10) TMI 830 - AT - Income TaxAssessment of trust - Exemption u/s 11 - Development fund receipts were directly taken to the balance sheet as liability and the same were added back - HELD THAT:- As per the direction of the Directorate of Education, the school is entitled to collect development fee up to 10 to 15% of tuition fee. The issue is squarely covered in assessee's own case for AY 2012-13 by the Hon'ble High Court's decision [2015 (4) TMI 1066 - DELHI HIGH COURT]. Hence, Ground No. 1 to 3 are dismissed. Depreciation in the case of charitable or religious institutions - CIT(A) has relied upon the decision of the Hon'ble Delhi High Court in case of DIT (Exemption) Vs. Indraprastha Cancer Society [2014 (11) TMI 733 - DELHI HIGH COURT] wherein it has been held that the assessee is eligible for depreciation in the case of charitable or religious institutions also. As regards the amendment to Section 11 which is effective from AY 2015-16 and subsequent years, the depreciation has to be allowed in relation to income from property which are in respect of charitable purposes. As in case of CIT vs. Rajasthani & Gujarati Charitable Foundation Poona [2017 (12) TMI 1067 - SUPREME COURT] held that the depreciation in respect of cost of the assets allowed to the assessee as expenditure is allowable. The issue contested by the Revenue is squarely covered against the Revenue in light of the Hon'ble Supreme Court decision in case of Rajasthani & Gujarati Charitable Foundation Poona (supra). Appeal of the Revenue is dismissed.
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