CANE DEVELOPMENT COUNCIL Vs. THE INCOME TAX OFFICER

JUDGEMENT

(1.) THIS appeal is preferred by the Assessee against the order of CIT(A), inter alia on following grounds: - -

(2.) THE Ld. C.I.T. (A) did not appreciated the effect of statutory provision of U.P. Sugar Cane (Regulation of Supply and Purchase) Act, 1953 and the Rules made there under, the receiving are not Income u/s. 2(24) of the I.T. Act. In accordance to these provisions total receiving cannot be treated as "Income".

(3.) THE Ld. C.I.T. (Appeals), did not appreciated that appellant has received "contribution in the form of commission" and "Grants" in accordance with the Act and Rules made by State Government to be utilized only for "specific projects" or "work" and there is no provision under the said Act/Rule authorizing the assessee to do any business activity with profit motive.