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ITA Nos.1075 & 1076/Bang/2014 7.3 The learned Departmental Representative was heard in support of the grounds raised and while assailing the impugned order of the learned CIT (Appeals), placed reliance on finding in the order of the Assessing Officer on this issue.

7.4 Per contra, the learned Authorised Representative for the assessee submitted that the assessee had disclosed the purpose of accumulation of income in Form No.10, as purchase of fixed assets and fulfillment of the objects of the trust. It was also submitted that the Hon'ble High Court of Karnataka in the case of DIT V Envisions (2015) 58 taxmann.com 184 (Kar) has held that as long as the objects of the trust are charitable in character and purposes mentioned in Form No.10 are for achieving the objects of the Trust, merely because the details about plan of such expenditure has not been given, the same would not be sufficient to deny the assessee benefit under Section 11(2) of the Act. It was submitted by the learned Authorised Representative that the cited decision of the Hon'ble Karnataka High Court (supra) is squarely applicable to the assessee in the case on hand.

7.5.1 In the proceedings before us, the learned Authorised Representative for the assessee submitted that the Hon'ble High Court of Karnataka, the jurisdictional High Court, has since decided the issue in the case of DIT (E) V Envisions in ITA No.752/2009 dt.13.3.2015 (reported in 58 taxmann.com 184) (Kar) is squarely on the subject. In the said decision, the Hon'ble Court at para 10 of its order has held as under :-

"10. In the present case, we find tht the revenue does not dispute the fact that all the three purposes specified by the assessee in Form 10 are for achieving the objects of the trust, and that the purposes as well as objects, are both charitable. Merely because more than one purpose has been specified and details about the plan of such expenditure has not beengiven, the same would not, in our view, be sufficient to deny the benefit under Section 11(2) of the Act to the assessee. As long as the objects of the trust are charitable in character and as long as the purpose or purposes mentioned in Form 10 are for achieving the objects of the trust, merely because of non-furnishing of the details, as how the said amount is proposed to be spent in future, the assessee cannot be denied the exemption as is admissible under sub-section 2 of section 11 of the I.T. Act, 1961."