TMI Blog1999 (10) TMI 86X X X X Extracts X X X X X X X X Extracts X X X X ..... 11(2) of the IT Act. Applications in prescribed Form No. 10 filed by the assessee before the completion of impugned assessments whereby the assessee had intimated the AO for accumulation of income in terms of the provisions of s. 11(2). The AO rejected the applications on the ground that the applications have not been filed within the prescribed time and these have not been furnished along with the returns of income. While filing the appeals before the CIT(A) as well as the Tribunal specific grounds have been raised by the assessee against rejection of the application under s. 11(2). The contention of the assessee now before us is that this specific ground taken for each of the assessment year under appeal has not been adjudicated by the Tr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... synopsis of arguments furnished by him as well as the various judicial authorities which were cited during the hearing of the appeals and included in the paper book No. 2 filed in support thereof. 3. The learned Departmental Representative on the other hand argued that the matter which has been considered or decided by the Tribunal cannot be reopened or rectified. In support of his contentions reliance has been placed on the following decisions: (1) P. Das Co. vs. Dy. CIT (1996) 132 CTR (Gau) 16 : (1996) 217 ITR 29 (Gau); (2) CIT vs. Suman Tea Plywood Industries (P) Ltd. (1997) 226 ITR 34 (Cal); and (3) Khatau Junkar Ltd. Anr. vs. K.S. Pathania Anr. (1992) 102 CTR (Bom) 44 : (1992) 196 ITR 55 (Bom). According to the Depart ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ITR 441 (Bom) is directly in the point. The fact that the Supreme Court has granted SLP does not entitle CIT(A) to brush and that decision. (i) Even if the 2nd return may be paid. P.No. 10 (by itself) cannot be rejected because the law does not require the said form to be filed with a valid return of income. (ii) The authorities have a power to condone delay and on facts the delay must be condoned." We further find that against para No. 6 of the synopsis as above the following decisions which were actually cited by the learned counsel while elaborating his arguments have been mentioned by the Bench: (1) CIT vs. Anjuman Moinia Fakharia (1994) 119 CTR (Raj) 91 : (1994) 208 ITR 568 (Raj); (2) Shri Mayur Foundation vs. ITO (1991) 39 T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... revised returns of the income. 6. Sec. 11(2) enlarges the scope of exemption and removes the restrictions relating to accumulation of income subject to fulfilment of conditions laid down in s. 11(2). Sec. 11(2) allows accumulation of income of the trust for specified purposes for a maximum period of 10 years on the condition that the trust specifies, by a notice in writing to the AO in the prescribed manner, the purpose for which income is being accumulated or being set apart and the money so accumulated or set apart is invested or deposited in the form of modes specified in s. 11(5). The provisions of s. 11(2) do not prescribe any time limit by which such a notice in writing should be given by the trust nor it prescribes any time-limit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case has been placed at pp. 55 to 59. We find that reliance had also been placed by the learned counsel during the course of hearing of appeals on the decision of Bombay High Court in the case (1994) 122 CTR (Bom) 387 : (1994) 209 ITR 441 (Bom) and (1994) 119 CTR (Raj) 91 : (1994) 208 ITR 568 (Raj). 7. We may mention here that the Gujarat High Court in the case of CIT vs. Gujarat Oil Allied Industries (1993) 109 CTR (Guj) 272 : (1993) 201 ITR 325 (Guj) has taken the view that the time-limit regarding furnishing of the audit report for claiming deduction under s. 80-I is merely directory in nature. The High Court held that the provision about furnishing the auditors report along with the return has to be treated as a procedural provisio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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