TMI Blog2018 (12) TMI 1928X X X X Extracts X X X X X X X X Extracts X X X X ..... avani Mandal [ 2015 (5) TMI 220 - BOMBAY HIGH COURT] has held that there is nothing like double deduction and when the assessee has acquired an asset from the income of the trust and thereafter, claimed the depreciation on the use of fixed assets, such depreciation claim does not mean double deduction. Accordingly, we do not find any reason to deviate from the findings of the Ld. CIT(A) and therefore, we uphold the order of CIT(A) on this issue. Grounds raised by Revenue on this issue are dismissed. Carry forward loss and allow the set off against the subsequent year's income - HELD THAT:- It is an undisputed fact that during the year, assessee has deficit as his gross expenditure exceeded the gross income and claimed the same to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts has been allowed u/s. 11 of the Income Tax Act (Act) and thus, challenging the order of CIT(A), which has resulted in to double deduction of the same amount, first by way of claiming deduction of expenditure u/s. 11 of the Act at the time of acquisition of assets and thereafter by way of depreciation. The AO rejected the claim of assessee by relying on the decision of the Hon'ble Apex Court in the case of Escorts Limited Vs. Union Bank of India [199 ITR 43], wherein it has been held that double deduction cannot be allowed under any circumstances. AO further observed that the ratio laid down by the Hon'ble Bombay High Court in the case of CIT Vs. Institute of Banking Personnel Selection [264 ITR 110] (Bom), which was pronounced by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g the material on record, including the impugned order, we observe that the issue of allowability of depreciation of fixed assets in the case of public charitable trust has been settled by the Hon'ble Supreme Court in the case of CIT Vs. Rajasthan and Gujarati Charitable Foundation, Poona vide Civil Appeal No. 7186 of 2014, a copy of which has been placed in the paper book as Exhibit A . Further, the Hon'ble Bombay High Court in the case of CIT Vs. Institute of Banking Personnel Selection (supra) and in the case of Director of Income Tax(Exemptions), Mumbai Vs. Shri Vile Parle Kelavani Mandal (supra) has held that there is nothing like double deduction and when the assessee has acquired an asset from the income of the trust and the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ns of assessee, allowed the appeal of assessee by observing and holding as under: 5.2 I have considered the facts and circumstances of the case, gone through the assessment order of the A.O and the submissions of the appellant and also discussed the case with the AR of the appellant. The contentions and submissions of the appellant are being discussed and decided here in under: i. Relying upon several case laws the appellant stated that deficit of the current year is required to be carried forward to the subsequent years. On perusal of the facts I find that the case of appellant is squarely covered by the judgement of Hon'ble Bombay High Court in the case of Institute of Banking Personnel 264 ITR 110 wherein the Hon. Jurisdictio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... principles and if commercial principles are applied then adjustment of expenses incurred by the Trust for charitable and religious purposes in the earlier years against the income earned by the Trust in the subsequent year will have to be regarded as application of income of the Trust for charitable and religious purposes in the subsequent year in which adjustment has been made having regard to the benevolent provisions contained in section 11 of the Act and that such adjustment will have to be excluded from the income of the Trust under section ll(l)(a) of the Act. Our view is also supported by the judgment of the Gujarat High Court in the case of CIT v. Shri Plot Swetamber Murti Pujak Jain Mandal (1995) 211 ITR 293 (Guj). Accordingly, we ..... X X X X Extracts X X X X X X X X Extracts X X X X
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