COMMISSIONER OF INCOME TAX Vs. INDUSTRIAL EXTENSION BUREAU

JUDGEMENT

(1.) Leave to amend Questions framed in Tax Appeal No. 1029 of 2013. These appeals arise in the following background.

(2.) Respondent-assessee, who is common in both the appeals, is a registered public charitable trust. For the Assessment Year 2009-10, the assessee filed return of income which was taken in scrutiny. During the course of assessment proceedings, the Assessing Officer noticed that a sum of Rs. 59.17 lakhs [rounded off] which was the income of the assessee was not spent by the Trust. After putting the assessee to notice, he added such amount to the income of the assessee. The assessee approached the CIT (A) and contended that the assessee always desired to exercise option available under clause (2) of Explanation to Section 11(1), for which purpose, a communication was also addressed on 22nd September 2009. However, on being pointed out that there was an error in the figure indicated and such figure, in subsequent letter dated 13th February 2011 was written, correcting the figure from Rs. 59,17,600/- to Rs. 1,05,67,047/-.

(3.) This was opposed by the Revenue contending that the assessee had once exercised option available under clause (2) of Explanation to Section 11(1), for which no declaration in the prescribed form was made. In any case, the request of correcting the figure came long after the last date of return has expired.