Cane Development Council, Titawi, Opp. Railway Station, Muzaffarnagar Vs Income Tax Officer, Ward-1(2), Muzaffarnagar

Parties Involved

Facts Summary

The case pertains to the assessment year 2010-11 and involves the Cane Development Council, Titawi, which is aggrieved by the order of the CIT(A), Muzaffarnagar dated 09.01.2018 in case No. 1643-7909-1280-416, under section 271(1)(c) of the Income Tax Act, 1961. The main issue is whether the'santage' amount collected by the assessee is chargeable to tax. The lower authorities treated the assessee as an artificial juristic person rather than a local authority under section 10(20) of the Act. The assessee has provided a copy of the assessment order dated 14.11.2019 for assessment year 2017-18, which has been held as assessable as a 'local authority'.…

Legal Issues

• 1. Whether the assessee should be treated as a local authority or an artificial juristic person under section 10(20) of the Income Tax Act, 1961.
• 2. Whether the 'santage' receipts/collections by the assessee are chargeable to tax.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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