TMI Blog2020 (1) TMI 86X X X X Extracts X X X X X X X X Extracts X X X X ..... included in the total income of the assessee society. Since aforesaid factual position has not been controverted by Ld. DR, We find no illegality or perversity in the findings written by Ld. CIT(A) in deleting the aforesaid additions Disallowance assessee society has received foreign contribution from the Government of France within meaning of Section 2(1)(j) of FCRA without filing return qua these contributions in FC-3 to the Ministry of Home Affairs as per FCRA Guidelines - HELD THAT:- Bare perusal of the letter (supra) goes to prove that when a transaction is between Government of India and Government of any foreign country or territory, FCRA is not attracted. When undisputedly, the transaction of ₹ 9,96,35,250 /- and ₹ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... New Delhi (hereinafter referred to as 'the revenue ) by filing the aforesaid appeals sought to set aside the impugned order dated 09/12/2016 passed by Ld. Commissioner of Income Tax(Appeals)- 40, New Delhi qua the Assessment Year 2011-12 and 2012-13 respectively on identical grounds inter alia that : 1. On the facts and circumstances of the case, Ld. CIT(A) has erred in ignoring the fact that in this case, transaction of foreign contribution was not transacted between the Government of India and Government of France. Instead, the transaction of foreign contribution was transacted directly between Government of France and the assessee society. Moreover, in the case of the assessee, compulsory aud ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in contravention of provisions contained u/s 11(1)(c) of the Act. The Assessing Officer also made a disallowance of ₹ 9,96,35,250/- and 9,16,98,000/- for AY 2011-12 and 2012-13 respectively on account of receipt of the same in violation of Foreign Contribution Regulation Act (FCRA) and made addition thereof to the total income of the assessee. The Assessing Officer assessed the total income of the assessee at 16,46,74,150/- and 8,98,45,430/- for AY 2011-12 and 2012-13 respectively. 5. Assessee carried the matter before Ld. CIT(A) who has deleted the addition by allowing the appeals. Feeling aggrieved the revenue has come up before the Tribunal by way of filing the present appeal. 6. We have heard the ld. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3 8. AO made disallowance of ₹ 9,96,35,250/- and ₹ 9,16,98,000/- for AY 2011-12 and 2012-13 respectively on the ground that assessee society has received foreign contribution from the Government of France within meaning of Section 2(1)(j) of FCRA without filing return qua these contributions in FC-3 to the Ministry of Home Affairs as per FCRA Guidelines. 9. Undisputedly, the assessee society is registered under Societies Registration Act, 1860 as a joint venture of Government of India and Government of France with an object to promote scientific research in both the countries. The ld. DR for the Revenue vehemently contended that since the assessee society is not a Government society, the ld. CIT (A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the subject mentioned above and to state that Foreign Contribution (Regulation) Act, 2010 does not attract in respect of the following transactions : a) Transaction between the Govt. of India and the Govt. of any foreign country or territory - Clause 51 of FCRA 2010. b) Bodies constituted or established by or under a Central Act or a State Act requiring compulsory auditing by C AG Notification No.S.O.1492(E) dated 1 July, 2011. In view of above, it is required to examine the subject proposal. If the foreign contribution receiving body comes within the purview of above provision. If not, then apply online in FC-4 through this Ministry's website i.e. www.mha.nic.in. Yours fai ..... X X X X Extracts X X X X X X X X Extracts X X X X
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