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2014 (4) TMI 519 - AT - Income TaxWithdrawal of registration u/s 12AA of the Act – Applicability of section 2(15) of the Act – Premises let out occasionally – Held that:- The main object of the trust was to promote educational activities and in that process the entire premises was let out to others who are running educational institutions - The claim of the assessee that it was let out on nominal rent, is not refuted by the Director of Income-tax (Exemption) or the Departmental representative - Even the sixth and seventh floors were let out to enable them to run the educational activity, i. e., running a management institute. The auditorium was meant to be utilized by the educational institutions free-of-cost and was not let out whenever the educational institutions needed it - the auditorium was utilized for other activities even on occasions when the educational institutions required it – the letting out of auditorium is not the dominant object of the trust - Once it is shown that the object of the trust was advancement of education, merely because the auditorium was incidentally let out to outsiders for commercial purpose, the case would not fall in the category of "advancement of any other object of general public utility" – thus, the withdrawal of registration is not in accordance with law – the order of the DIT(E) set aside – Decided in favour of Assessee.
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