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2011 (11) TMI 351 - AT - Income TaxTrust registered u/s 12A, 10(23(C) - application made for registration u/s 80G(5)(vi) – Revenue denying approval on the ground that few clauses of Trust Deed enable income or assets of the Trust to be transferred or applied for any non-charitable purpose – Held that:- Considering all the clauses together of trust deed, it is evident that the true import of it was to carry out its activities subject to restrictions laid down under the Income Tax Act. Thus, Commissioner was required to find out the real purpose, as distinguished from the ostensible purpose of establishment of the Society or the Trust. He could not deny the registration solely on the basis of one clause, which could not be acted upon in view of the restriction contained in other clauses. The provision for the transfer or application of income or assets of the institution for the purposes other than charitable purpose should be capable of acted upon by the management, then only the registration could be denied in view of section 80G(5)(ii). However now, in any view of the matter, since the assessee-Trust has already amended its Trust Deed, therefore, registration is to be granted to the assessee. - Decided in favor of assessee.
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