The following questions were referred to the High Court Whether, on the facts and in the circumstances of the case.
CA 3382/97 CA 3383/97 Present Honble Mr. Justice K.S. Paripoornan Honble Mr. Justice S. Saghir Ahmad Ramamurthy, Harish N. Salve, Sr.
They do number earn any profit.
Patiala Pavillion etc.
This batch of 23 cases was posted together.
505/92, SLP C 22644/94, CA 3974/92, 4777 78/89, 4534/91, 1635/94, 1648 1649/94, 2380 82/94 SLP C 2811/94, CA 8046/95, 1773/92, 4303/95, 3840/96 AND 10194/95.
22644/94 and 2811/94.
The assessee pleaded that the receipts were exempt from tax on the general principle of mutuality.
Advs, S. Rajappa, Dhruv Mehta, B. Krishna Prasad, P. Parmeswaran, D.S. Mehra, Rana, Rajiv Tyagi, Sudhanshu Tripathi, M.J.S. Rupal, P. Mukherjee, Sanjoy Kumar Ghosh, Manoj Swarup Adv.
2811/94 Commissioner of Income tax Jalandhar v. Northern India Motion Pictures Association, Group E C.A. Nos.
505/92 and 3974/92 Commissioner of Income tax.
PARIPOORNAN, J. Special leave granted in SLP C Nos.
with any profit motive and were number tainted with companymerciality.
J U D G M E N T The following Judgment of the Court was delivered.
for M s. Manoj Swarup Co., S.K. Aggrawal, Vinay Vaish and Amarendra Sharan, Advs.
That was so done on the basis that the same and identical point arises for companysideration in all of them.
1635/94 1648 49/94, 2380 82/94 and C.A. No.
Group A C.A. Nos.
For companyvenience sake, the 23 cases including seven appeals which are de linked can be classified into 5 groups.
with therm for the appearing parties.
WITH CA NOS.
ASSESSMENT REMARKS YEARS CA No.1635 of 1987 88 Appln.
Following the decision rendered by the Appellate Tribunals Bombay Bench, for the assessment years 1974 75 and 1976 77 rendered in ITA Nos.
The Income tax Officer wanted to subject the assessee to tax on the income derived from the admission fee, periodical a subscriptions and specific service charges received from the members.
Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the receipts under the head Others were neither income liable to be taxed under the head Business number under the head Other sources?
The facts in the said case and the decision by the High Court are neatly summarised in the head numbere of the reports at pages 160 161 The, assessee was an association and its members were film distributors and exhibitors.
The association protected the rights of, its members in return for admission fees and periodical subscription and also rendered specific services in return for separate charges.
5382./97 arising out of SLP No.22644/94 and C.A. No.10194/95 Commissioner of Income tax Bombay v. Cricket Club of India Group D C.A. Nos.
The Income tax Officer did number agree with the plea on the grounds that in clause 7 of the memorandum of association it was provided that upon winding up or dissolution of the association, the remaining property, after the satisfaction of its debts and liabilities, shall number be paid or distributed amongst the members but shall be given or transferred to such other institution or institutions having similar objects to be determined by the members at or before the time of dissolution, or in default thereof by the Prime Minister of the East Punjab and if this companyld number be done, then, to some charitable object and hence the amount was number to go back to the members.
The decision thereon dated 27.4.1989 is reported in Commissioner of Income tax v. Northern India Motion Pictures Association 180 ITR 160.
854 858/86 Commissioner of Income tax Bihar v. M s. Bankipur Club Ltd. Group B C.A. Nos.
The proceedings relate to Assessment years 1977 78 and 1978 79.
1730 and 1913 Bombay of 1980 the appellate tribunal held that numberportion of the Club House.
In other words, the services offered on the above companynts were number done.
3583/97 arising out of SLP C No.
the principle of mutuality is applicable to the assessees receipts under the head Others?
4777 78/89, 4534/91, 8046/95, 1773 NT /92, 4303/95 and 3840/96 Commissioner of Income tax, Kanpur v. Cawnpore Club Ltd. As state earlier, the appeals companying within Group E CIT, kanpur V. Cawnpore Club Ltd. seven appeals are de linked and they will be posted separately to be heard on merits.
Bihar II v. Ranchi Club Ltd., Group C C.A. No.
