TMI Blog1996 (11) TMI 109X X X X Extracts X X X X X X X X Extracts X X X X ..... ainst Rs. 7,94,200 as claimed by the assessee. In addition, the interest charged under section 139(8) and under section 217 of Act have also been contested. 2. Shri K.V. S.R. Krishna, who appeared on behalf of the assessee stated that the assessee is a society registered under section 12A(a) of the IT Act. Since inception, society has been assessed under section 143(1) of the Act at nil income. The society is a voluntary group which in association with other voluntary organisations stages plays to educate people on various social problems. During the assessment year 1988-89, the assessee submitted a return alongwith statement of income which was revised later on. The assessee had given an amount of Rs. 50,000 to Mahila Hatt (Ruler) throug ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 388 (Guj.). Then the amount given to Mahila Haat did not constitute either an investment or deposit for which the assessee could have been charged for violating the provisions of section 13(1)(a) of the Act. For the aforesaid proposition, reliance was placed on the decision of the Tribunal in the case of Indian National Theatre Trust and National Engg. Co-ordination Committee v. Asstt. CIT [1992] 43 ITD 612 (Pune). It is also contended that the learned CIT (Appeals) also erred in not considering the revised computation of income furnished before the Assessing Officer wherein the application of income was claimed at Rs. 7,94,200 and not Rs. 5,59,188. The learned DR on the other hand strongly relied on the order of the learned CIT (Appeals). ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... "investment or deposits". The expression "investment" as per Websters New International Dictionary (second edition unabridged) means "to lay out (money or capital) in business with the view of obtaining an income or profit." Deposit on the other hand means, that which is placed anywhere, as in any ones hands for safe keeping, something entrusted to the care of another, These two expressions have been used in cognate sense and have to be understood as such. In this context, we find that the expressions "investment and deposit" have been considered by the Tribunal in the case of National Engg. Co-ordination Committee. The Tribunal after considering the dictionary meaning of 'investment' as also the judicial decisions explaining the said word ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f section 11(1)(a) can be said to have been met by such donor trust and the donor trust can be said to have applied its income for the purposes. To similar effect a decision was taken in the case of Indian National Theatre Trust. On the facts, it has been held that in case the objects of both the donor and the donee are the same, the loan advanced to the donee trust could not but be said to be application of income in furtherance of objects of the assessee. No contrary decision has been cited by the learned DR on this proposition. It has also not been denied that the objects of both the donor and the donee are not similar. Applying the ratio in the case of Indian National Theatre Trust it could not be said that the amount given to Mahila Ha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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