- (1.) THE Tribunal, Allahabad, has referred the following question of law under s. 256(1) of the IT Act, 1961, hereinafter referred to as 'the Act' for opinion to this Court : "Whether on the facts and in the circumstances of the case, the Tribunal was justified in holding that the Trust was not liable to the tax under s. 11 and it was not hit by s. 13 of the IT Act, 1961 -
(2.) THE present reference relates to the asst. yr. 1989 -90. Briefly stated that the facts giving rise to the present reference are as follows :
(3.) THE respondent assessee is a trust and has shown its income from the property owned by it. The AO, however, found that the income so generated was not applied by the assessee to charitable purposes within the meaning of s. 13 of the Act, exemption under s. 11 was, therefore, disallowed. The appeal preferred by the respondent assessee has been allowed following the view taken by the Tribunal in the respondent assessee's case in respect of the asst. yrs. 1980 -81 and 1981 -82, which has been upheld by the Tribunal. We have heard Sri R.K. Upadhyaya, learned standing counsel for the Revenue and Sri R.S. Agrawal, learned counsel appearing for the respondent assessee.;