COMMISSIONER OF INCOME TAX Vs. NIRMA UNIVERSITY

JUDGEMENT

(1.) By this appeal under Sec. 260A of the Income Tax Act,1961 [for short 'the Act']. The appellant-Revenue has proposed the following substantial questions of law arising out of the Judgement and Order dtd. 29/1/2015 passed by the Income Tax Appellate Tribunal, Rajkot Bench [for short 'the Tribunal'] in ITA 1216/AHD/2011 for Assessment Year 2008-09:

(2.) Brief facts of the case are that the respondent-assessee filed return of income on 26/9/2008 declaring total income at Rs.Nil. The income was processed under sec. 143(1) of the Act on 31/3/2010. Thereafter, notice under Sec. 143(2) of the Act was issued followed by notice under Sec. 142(1) . Requisite details were provided by the respondent-assessee stating that the respondent-assesee Trust was engaged in field of education and was registered under Sec. 12A(a) of the Act on 17/10/2003. It was also pointed out that income of the assessee was exempted under Sec. 10(23C)(iv) as per the order dtd. 29/5/2008 passed by the CCIT-IV, Ahmedabad.

(3.) The Assessing Officer passed the assessment order dtd. 31/12/2010 under sec. 143(3) of the Act by making disallowance on depreciation of Rs.6,47,32,014/- on the ground that depreciation claimed by the assesse would apparently be double deduction as the investment in assets made by the assessee Trust is allowed as deduction as application of funds.