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2011 (9) TMI 78 - DELHI HIGH COURTCharitable Activity - Whether running of coaching classes is business activity or charitable activity - It was held by ITAT that the institute has been created to regulate the profession of Chartered Accountancy and for this purpose the institute can and is required to provide education, training and monitor professional skills of the members - The institute is accountable as per the provisions of the Act establishing it and the institute also has disciplinary control over the students who are required to be registered with its in the first place and who appear at the exams being held by the institute - appellant has taken a very narrow and myopic view and has not examined the question of object and role of the institute in proper and correct perspective Business Activity or not - whether activities of the institute can be regarded as a business activity - The purpose and object to do business is normally to earn and is carried out with a profit motive; in some cases the absence of profit motive may not be determinative - appellant without examining the concept of business has held that the institute was carrying on business as coaching and programmes were held by them and a fee is being charged for the same On the basis of the findings recorded in the order dated 29th March 2010, under section 263 of the Act, it is not sufficient to hold that the institute is carrying on business. - the order passed by the appellant under Section 263 of the 1961 Act can not be sustained and was, therefore, rightly upset and set aside by the Tribunal.
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