9911796707
TMI Blog1997 (6) TMI 38X X X X Extracts X X X X X X X X Extracts X X X X ..... e within the due date of 30-6-1985 in accordance with the provisions of section 139(4A) of the Income-tax Act, 1961. Actually, however, the return declaring nil income was filed by the assessee on 11-12-1985. The assessment was completed later on on a deficit of Rs. 1,12,805. The penalty levied by the Assessing Officer under section 271(1)(a) for delay in filing the return of income was upheld by the CIT(Appeals). 3. In the further appeal taken up before the ITAT, Sri K.R. Prasad, the learned counsel for the assessee, has taken up a legal issue. He argues that inasmuch as the total income of the assessee was below the taxable level, it was not obliged to file its return of income under section 139(1). At the same time again, it is contende ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ibed form and verified in the prescribed manner and setting forth such other particulars as may be prescribed and all the provisions of this Act shall, so far as may be, apply as if it were a return required to be furnished under sub-section (1)." The provisions of sections 11 and 12 are applicable to income derived from property held under trust or other legal obligation for charitable or religious purposes. In addition to cases of regular trusts executed under trust deeds, even other charitable or religious institutions of the nature of society, club, etc., are also entitled to the benefits under these sections inasmuch as the income derived by such institutions is from property held under trust or other legal obligations. For this purpo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... act that the managing committee of the society holds the assets of the society under implied trust towards fulfilment of the said charitable objects. In that way, the managing committee must be considered to be a "representative assessee" for the purpose of sections 139(4A) and also 271(1)(a). Hence, the argument of the learned counsel for the assessee that only trusts catering for religious or charitable purposes are under the obligation to file their returns of income under section 139(4A) and not other religious or charitable institutions is not correct. We are of the opinion that in view of the discussions above, all charitable trusts and institutions (including the assessee) are also bound by the provisions of section 139(4A). Again s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he course of a reassessment proceeding after issue of a notice under section 148. The High Court was of the view that the fiction of equating a notice under section 148 with one under section 139(2) cannot be extended to the extent of allowing the assessee to file a revised return under section 139(5). The High Court, however, did not say anything about the other aspects of a notice under section 139(2). In fact, so far as the time-limit for filing the return in response to a notice under section 148 is concerned, it is well-established that the time-limit as prescribed in the case of a notice under section 139(2) would apply to such cases also. In the instant case also, therefore, there is no difficulty in concluding that the use of the ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of mention of anything about Form No. 6 having been filed in Part-IV of the return, indicates that most probably no such application had been filed. However, it is also a fact that there may be existence of reasonable cause behind the delay and such delay may be condoned even without any application in Form No. 6 being filed. The assessee is undisputedly a charitable organisation and its income for the relevant year has also been ultimately found to be totally exempt under sections 11 and 12. It is also an acknowledged fact that Sri Lokendra Rao, CA was looking after the entire affairs relating to filing of return, etc., of the assessee. The delay in filing the return must, therefore, be considered to be attributable to Sri Lokendra Rao hi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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