Op/29425/1999 Of Yymmissioner Of Income Tax v. St.thomas Cathedral Church

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT:- THE HONOURABLE THE CHIEF JUSTICE MR.H.L.DATTU & THE HONOURABLE MR. JUSTICE K.T.SANKARAN MONDAY, THE 30TH JULY 2007 / 8TH SRAVANA 1929 O.P.No.29425 of 1999(S) -------------------------------------------- (R.A.NO.334 (COCH)/1998 ARISING OUT OF I.T.ANO.261(COCH)/1984 OF THE INCOME TAX APPELLATE TRIBUNAL, COCHIN BENCH, COCHIN) .................... PETITIONER:- ------------------- THE COMMISSIONER OF INCOME-TAX, COCHIN. BY STANDING COUNSEL FOR GOVERNMENT OF INDIA (TAXES) SRI.P.K.RAVINDRANATHA MENON (SR.) SRI.GEORGE K. GEORGE. RESPONDENTS:- ------------------------ ST.THOMAS CATHEDRAL CHURCH,IRINJALAKUDA, TRICHUR DISTRICT. BY ADV. SRI.P.BALACHANDRAN. THIS ORIGINAL PETITION HAVING BEEN FINALLY HEARD ON 30/07/2007, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: H.L.Dattu, C.J. & K.T.Sankaran, J. ------------------------------------------------------- O.P.No.29425 of 1999-S --------------------------------------------------------- Dated, this the 30[th] day of July, 2007 JUDGMENT H.L.Dattu, C.J. The Revenue has filed this petition under Section 256(2) of theIncome Tax Act, 1961 ('Act' for short), inter alia, requesting us to direct theIncome Tax Appellate Tribunal to state the case and refer the questions of lawthat would arise in I.T.A.No.261/Coch)/1984 dated 7[th] September, 1998 for theassessment year 1990-91. The questions of law raised by the Revenue areas under: “1. Whether, on the facts and in the circumstances ofthe case and in view of sub-section (4A) of Section 11, theassessee is entitled to exemption u/s.11 of the Income-tax Act? 2. Whether, on the facts and in the circumstances ofthe case, the assessee is right in law and fact in holding that'the assessee is a religious and charitable institution andcarried on kuri business for utilising the income therefrom alsofor the charitable purpose such as medical relief, education,etc.? 3. Whether, on the facts and in the circumstances ofthe case, the Tribunal is right in holding that the interestclaimed cannot be taxed in the hands of the assessee trust asit is exempt from taxation?” (2) The Tribunal has rejected the appeal filed by the Revenue.The Revenue had filed an application under Section 256(1) of the Actrequesting the Tribunal to state the case and refer the questions of law thatwould arise in I.T.A.No.261/Coch)/1984 for the assessment year 1990-91. The Tribunal has rejected the application. (3) We have carefully perused the order passed by the Tribunaland also the questions of law raised by the Revenue for consideration anddecision by this Court. In our opinion, the questions of law raised by theRevenue require consideration by this Court. Therefore, a direction requires tobe issued to the Tribunal to state the case and refer the questions of law thatwould arise in I.T.A.No.261/Coch)/1984 dated 7[th] September, 1998 for theassessment year 1990-91. (4) Accordingly, the following: Order i) The petition is allowed. ii) A direction is issued to the Tribunal to state the case and refer thequestions of law that would arise in .T.A.No.261/Coch)/1984 dated 7[th]September, 1998 for the assessment year 1990-91 for consideration anddecision by this Court, as expeditiously as possible. Ordered accordingly. (H.L.Dattu) Chief Justice vku/- (K.T.Sankaran) Judge