2013 (10) TMI 1174

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... oner of Income Tax, it should have granting exemption under Section 12AA(1)(b)(ii) of the Income Tax Act, 1961 (hereinafter referred to as 'the Act'), instead of remitting the matter. As the appellant had already filed the original instrument of establishment of the society and furnished complete information regarding the school being run since inception and the Tribunal has held that the CIT was not justified in raising an inference against the appellant on the ground that family members are part of the trust, the Income Tax Appellate Tribunal should have itself allowed exemption. Counsel for the revenue submits that as the Tribunal has merely remanded the matter, the appeal is misconceived. The CIT shall reconsider the matter in the ligh .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ctivities which may be put to a test of genuineness'. The Ld. CIT did not elaborate in his order u/s 12AA(1)(b)(ii) of the Act as to which specific aim/object or activity was not of charitable nature. The ld. AR now contends before us that the society is running a school since inception and its claim for exemption u/s 10(23C)(iiiad) of the Act has been accepted by the A.O. As already observed the ld. CIT did not examine this apsect of the activities nor elaborated as to which specific clause in the memorandum of the society is not of charitable nature. Merely because wife and son of Shri Rajinder Singh are also members of the society or tax has not been deducted at source from certain payments does not ipso facto mean that objects or activi .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... n essence has raised inferences contrary to facts. The Tribunal has also held that the CIT has ignored that the appellant is running a school since its inception. The appellant is aggrieved by remand of the matter to the CIT. The jurisdiction to allow or reject an application, filed under Section 12AA of the Act rests with the CIT. The CIT having ignored relevant facts and considered factors that were not germane to the controversy, the order of the Tribunal, declining to impose its own opinion on merits and remitting the matter to the CIT to decide a matter afresh, cannot be faulted. In view of what has been recorded hereinabove, the appeal is dismissed. The Commissioner of Income Tax, Rohtak, shall decide the petition filed by the appel .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X