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TMI Blog2020 (3) TMI 428X X X X Extracts X X X X X X X X Extracts X X X X ..... of the assessee seems to be charitable in nature, but the activities carried out by the assessee which resulted in the profits/ surplus are commercial in nature. 2. The appellant craves leave to add, to alter or amend any ground of appeal raised before at the time of hearing. 2. The brief facts of the case are that assessee filed its return of income declaring nil income on 29.09.2012 for assessment year 2012-13. The assesssee is registered under the Societies Registration Act, 1860. The assessee is also registered under section 12A of the Income Tax Act, 1961 (In short "Act") since 28.06.1984. The assessee-society has been constituted by the Development Commissioner (Handloom), Ministry of Textiles, Government of India. The main object ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vities of the assessee do not fall in the category of relief of poor, education, medical relief, preservation of environment (including watersheds, forests and wildlife) and preservation of monuments or places or objects of artistic or historic interest. The Assessing Officer also held that the assessee's case cannot be considered the under the concept of mutuality since the essence of mutuality lies in the return of what one has contributed to a common fund and unless there is a complete identity between the contributors and participators in a common fund, the principle of mutuality would not be attracted. The Assessing Officer discussed the amendment to the proviso to section 2(15) of the Act and CBDT Circular dated 19.12.2008 and com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(A) as well as the ITAT, Coordinate Bench, Delhi decision passed in Revenue's ITA No. 4788/Del/2016 (AY 2010-11) vide order dated 27.3.2019 in assessee's own case. We find that Ld. CIT(A) has observed as under:- "4.1 The appellant has raised, as many as 8 grounds of appeal for assessment year 2011-12 and 9 grounds of appeal for assessment year 2012-13. Ground nos. 1 to 5 in assessment year 2011-12 and ground nos. 1 to 6 in assessment year 2012-13 challenge the denial of exemption under section 11. Since these grounds are interlinked, these are being adjudicated together. 4.1.1 I have considered the assessment order, the submissions of the appellant as well as the Order of ld. CIT(A) for assessment year 2010-11 in the appellant's ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ers from all Government departments which have the demand and giving it to the member society. Thus it is a nodal and implementing agency of the Government and not a society for the purpose of making any profit or doing business. Further, it organizes exhibitions to provide a platform to 'weavers across the country. The AD has apparently not considered the nature of the activities and the objectives of the society and merely disallowed the benefit of Section 11 by stating that the activities do not fall under the first five limbs of Sec 2(15) & that principle of mutuality does not apply. The case of ITPO (2015) 371 ITR 333 of Delhi High Court applies to this case also, where it was adjudicated that where institution is not driven by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 4.1.2 The facts of the case for assessment year 2011-12 and 2012-13 are same as those for assessment year 2010-11. A comparison of the assessment order for the assessment year 2010-11 with those for assessment years 2011-12 and 2012- 13 shows that no new facts have been brought on record by the Assessing Officer for the assessment years under consideration in these appeals. Since the facts of the case are same as in assessment year 2010-11, respectfully following the order of the ld. CIT(A)-36 for assessment year 2010-11, it is held that the assessee cannot be said to be involved in carrying on any business, trade or commerce and the Assessing Officer is directed to allow the benefit of section 11 with consequential benefits. Ground nos. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on to section 2(15) will be attracted in the case of the assessee. In our opinion, the finding of the Ld. CIT(A) on the issue in dispute is well reasoned, and we do not find any error in the same. Accordingly, we uphold the same. The ground of the appeal of the Revenue is accordingly dismissed." 5.2 After hearing both the parties and perusing the orders passed by the revenue authorities, especially the impugned order dated 30.1.2017 of the Ld. CIT(A) and the finding of the Tribunal, as reproduced above, we are of the considered view that the facts of the case of AY 2012-13 are same as those for assessment year 2010-11. A comparison of the assessment order for the assessment year 2010-11 with those for assessment year 2012-13 shows that n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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