9911796707
TMI Blog2022 (11) TMI 987X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee has filed Cross Objection bearing No. 01/GAU/2011. 2. Alongwith Form No. 36, Revenue has filed statement of facts and thereafter raised only one ground of appeal, which reads as under:- "The CIT(A) has erred in holding that the capital carried forward and the introduction of capital as income exempt u/s. 10(26) of the Income Tax Act, 1961, while holding that due opportunity was provided to the assessee by the AO before passing the order u/s. 144 of the Income Tax Act, 1961. The CIT(A) failed to appreciate the fact that the onus to prove otherwise by the AO does not hold good in the instant case since the assessee had failed to discharge his onus properly". 3. This appeal was presented before the Tribunal on 30.12.2010. Ther ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x Act. An assessment order was passed under section 143(3) on 31.03.2006 rejecting the claim of exemption in respect of income arose to the assessee from execution of contract works at Tripura. This order was set aside by the ld. Commissioner by exercising powers under section 263 vide his order dated 31.03.2009. In pursuance of this 263 order, fresh assessment order has been passed on 31.12.2009 under section 143(3) read with section 263. The computation of income in this assessment order reads as under:- "Therefore, based on the above discussions the income is computed as under:- Contract income from Arunachal Pradesh : NIL Income from Tripura : Rs. 48,62,252/- (as discussed in para 8) Add: As discussed in para 7 : Rs. 1,81,07,565 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppellant had not questioned the jurisdiction of the AO during the course of assessment proceedings initiated following the order u/s. 263. In view of the above, the contention of the appellant is found to be without any' merit. Appeal fails on this ground. 6. With regard to the third ground of appeal, hearings were fixed by the AO on 30.07.2009 and 25-08-2009. The appellant requested for keeping assessment proceedings in abeyance till disposal of appeal filed before the ITAT against the order passed u/s. 263. As matter was time barring, therefore, the assessment was completed u/s. 144 to the best of the judgment of the AO on the basis of materials on record. Considering the above it is observed that due opportunity was provided to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on under Section 10(26). If a literal meaning is to be given to the expression "residing in any area specified", in our view, Section 10(26) is capable of producing a result that any member of a Scheduled Tribe irrespective of the fact whether such a Scheduled Tribe is a Scheduled Tribe, in relation to those territories specified in the said Subsection or not, is entitled to the benefit of the said Sub-section. It is not the case of either the petitioners or the revenue that the Parliament, while enacting Section 10(26) intended such result. Therefore, the expression "residing in any area specified" must be interpreted in the context of the said Sub-section. The context of the Sub-section is that it is a special provision with reference to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ecified area under Section 10 (26), would be exempt under the said section. No material is brought on record by the AO on the capital brought forward and introduction of fresh capital Rs. 1,81,07,565/- that the same has accrued from areas other than the states of Arunachal Pradesh and Tripura. The AO has not found the above capital to have accrued from areas other than the states of Arunachal Pradesh and Tripura. The above income of the appellant is, therefore, exempt u/s. 10(26) of the IT Act. The appeal is allowed on these grounds. 8. In the result appeal is partly allowed. Sd/- (Niranjan Kouli) Commissioner of Income Tax(Appeals) Guwahati" 6. The ld. D.R. was unable to point out any material as to how the issue in dispute is not co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that jurisdiction of the case was with the ACIT, Circle-Tezpur. In the statement of fact appended with the C.O., the assessee has pleaded that originally the assessee has filed his return of income with Ward North Lakhimpur. His assessment was also passed by ITO, Ward-North Lakhimpur only. The case was subsequently transferred to ACIT, Circle Tezpur and the reason for such transfer was that income of the assessee exceeded Rs. 500,000/-. He submitted that the last return filed by the assessee before passing of the order by ld. ACIT is for A.Y. 2007-08 in which income was declared as 'NIL'. 9. Though with the assistance of ld. D.R., we have gone through the record carefully. The assessee has not placed on record the Notification vide ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
