TMI Blog2020 (2) TMI 1231X X X X Extracts X X X X X X X X Extracts X X X X ..... names/identify and submitted that due to this reason the society was handicapped in recording their names and identity. DR has pointed out that the assessee has failed to substantiate the manner in which the undisclosed income is derived. So far as this aspect is concerned, as per section 115BBC, any trust or institution received anonymous donations, is not necessary to mention identity/address and other particulars in the books. Therefore, once the assessee has explained the way in which he derived income and also the purpose for which it is utilized, it is not necessary for the assessee being an educational society to substantiate further with the source of the income received in view of section 115BBC(2) (3) of the Act. Therefore, in view of the facts and circumstances of the case, we find that the assessee has fulfilled all the conditions laid down in section 271AAB(1)(a), therefore penalty at 10% is leviable in this case. No infirmity in the order passed by the ld. CIT(A). Thus, this appeal filed by the Revenue is dismissed. A.Y. 2014-15 - the due date of filing of the return is 30/09/2014. The assessee filed the return of income on 29/11/2014 which was beyond th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ise. When questioned about the amounts received from the students, Dr. Ganni Bhaskara Rao has stated that during the F.Y. 2012-13 2013-14, the society had received anonymous donations from various persons for upliftment of the activities of the society. It was further submitted that the said donations received for the betterment of activities of the society only, and the persons who have contributed such donations were not willing to disclose their names/identity and submitted that due to this reason the society was handicapped in recording their names and identity. As all such contributions made by different persons par-take the character of anonymous donations submitted that all the anonymous donations received were utilised for upliftment of the activities of the society. The relevant statement recorded on 31/10/2013 is reproduced as under:- Q4. You are aware that Search Seizure operations u/sec. 132 were conducted in the group of GSL Educational Society and during the course of which a statement u/sec. 132(4) was recorded from you on 19/09/2013 (P.O. Operation). Vide question No.7, where you have been asked to furnished the details of break-up of undisclosed income a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e normal course relating to F.Y. 2012-13, which is on or before the date of search i.e. 25/07/2013. Hence, this income clearly falls under the definition of undisclosed income as defined in Explanation (c)(i)(A) to section 271AAB and he has rejected for dropping penalty proceedings. He further noted that section 271AAB prescribed a lesser rate of penalty i.e. 10% of the undisclosed income where the assessee has admitted the undisclosed income u/sec. 132(4) of the Act and also has paid the tax and filed the return of income before the specified date. In the present case, a search was conducted on 25/07/2013 and the due date of filing of the return for the A.Y. 2013-14 u/sec. 139(1) (specified date) was 31/10/2013. The assessee was not filed the return of income u/sec. 139 on or before 31/10/2013. Notice u/sec. 153A was issued on 23/07/2014 requiring the assessee to furnish the return of income within 20 days of receipt of the notice. However, the assessee has furnished the return on 03/11/2014 i.e. much after the specified date. Thus, it is seen that although the assessee has admitted undisclosed income, it has failed to file the return of income within the specifie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nonymous donations received by any trust or institution does not maintain record of the identity indicating the name, address of the persons making such contributions and such other persons may be prescribed and submitted that as per the above clause, the assessee need not maintain identity of the person contributed, address and other particulars and submitted that the assessee has already submitted before the Assessing Officer that he has received contributions for specific purpose and therefore he has already fulfilled the conditions as per section 271AAB(1)(a) and therefore penalty has to be levied only at 10% not at 30%. 8. We have heard both the sides, perused the material available on record and orders of the authorities below 9. In this case, there is a search conducted on 25/07/2013. The assessee has submitted before the authorities that income found is anonymous donations received and filed the return of income on 30/10/2013. Before the Assessing Officer the assessee has submitted that he has admitted the income during course of search and the same is offered for tax, the return was filed in time, therefore, penalty may be imposed @10%. However, the Assessin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 115BBC(2) (3) of the Act. Therefore, in view of the facts and circumstances of the case, we find that the assessee has fulfilled all the conditions laid down in section 271AAB(1)(a), therefore penalty at 10% is leviable in this case. In view of the above, we find no infirmity in the order passed by the ld. CIT(A). Thus, this appeal filed by the Revenue is dismissed. C.O.No. 86/VIZ/2017 10. Cross Objection filed by the assessee is concerned, it is only supportive to the order of the ld. CIT(A). As we have already dismissed the appeal of the Revenue, no separate adjudication is required, therefore same is dismissed. ITA No. 65/VIZ/2018 11. There is a delay of 137 days in filing the appeal. The assessee has filed an affidavit along with medical certificate by stating as under:- Whereas, for the A.Y.20 14-15, 1 received the order passed by the Commissioner of Income Tax(A), Rajahmundry on 31st August 2017. As I was aggrieved with the orders passed by the commissioner of Income Tax(A), Rajahmundry, approached CA C.Subrahmanyam, FCA on 24th Oct' 2017 for filling an appeal. He informed that the appeal is to be filed on or before 30th Oc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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