TMI Blog2022 (5) TMI 1059X X X X Extracts X X X X X X X X Extracts X X X X ..... am Mandapam by the name M/s Abirami Chidambaram community hall at Kottupuram. This community hall is stated to have been conceived and constructed to help the poor people by enabling them to hire out a community hall for conducting family functions at moderate rental and also encourage fine arts by using the hall for music concerts and dance performances. It could also be seen that as against total receipts of Rs.1827.92 Lacs, the rental receipts are merely Rs.72.93 Lacs which is merely 4% of total receipts. The majority of rent received by the assessee include rental from marriage functions and rent earned from other events like cultural, spiritual and educational seminars etc. It is nowhere the findings that the assessee has not adhere ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pondent by : Shri ARV Sreenivasan ( Addl. CIT ) Ld. Sr. DR ORDER Manoj Kumar Aggarwal ( Accountant Member ) : 1. Aforesaid appeal by assessee for Assessment Year (AY) 2014-15 arises out of the order of learned Commissioner of Income Tax (Appeals)-17, Chennai dated 31.12.2018 in the matter of assessment framed by Ld. Assessing Officer [AO] u/s.143(3) of the Act on 31.12.2016. The grounds raised by the assessee read as under: 1. The order of the Commissioner of Incometax (Appeals) is contrary to law, facts and circumstances of the case. 2. The CIT (Appeals) has erred in concluding that receipt from a community hall is commercial in nature. 3. The CIT(Appeals) ought to have appreciated that the primary purpose w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Ld. AR also submitted that the activities being carried out by the assessee were for charitable purposes only. It was also pointed out that similar disallowance made by Ld. AO was allowed by Ld. CIT(A) in earlier year and the revenue did not contest the same any further. The Ld. Sr. DR, on the other hand, submitted that the activities were commercial in nature and the same were hit by proviso to Sec.2 (15). Having heard rival submissions and after due consideration of orders of lower authorities, our adjudication would be as under. 3. The assessee being registered trust u/s 12A enjoys exemption u/s 11 12 as applicable to a charitable trust. The assessee is registered since November, 2000. During this year, the assessee s total recei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... licable to a charitable trust. With a view to help poor and middle-class people, which is one of its main objects, the assessee runs Kalyanam Mandapam by the name M/s Abirami Chidambaram community hall at Kottupuram. This community hall is stated to have been conceived and constructed to help the poor people by enabling them to hire out a community hall for conducting family functions at moderate rental and also encourage fine arts by using the hall for music concerts and dance performances. It could also be seen that as against total receipts of Rs.1827.92 Lacs, the rental receipts are merely Rs.72.93 Lacs which is merely 4% of total receipts. The majority of rent received by the assessee include rental from marriage functions and rent ear ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
