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2015 (1) TMI 1441 - AT - Income TaxExemption u/s 11 - Refusing registration to the assessee trust u/s.12AA - charitable activity u/s 2(15) - HELD THAT:- The main objects of the trust are - to breed the cattle and endeavour to improve the quality of the cows and oxen in view of the need of good oxen as India is prominent agricultural country; to produce and sale the cow milk; to hold and cultivate agricultural lands; to keep grazing lands for cattle keeping and breeding; to rehabilitate and assist Rabaris and Bharwads; to make necessary arrangement for getting informatics and scientific knowledge and to do scientific research with regard to keeping and breeding of the cattle, agriculture, use of milk and its various preparations, etc,; to establish other allied institutions like leather work and to recognize and help them in order to make the cow keeping economically viable; to publish study materials, books, periodicals, monthlies, etc., in order to publicize the objects of the trust as also to open schools and hostels for imparting education in cow keeping and agricultural having regard to the trust objects. The Hon'ble High Court held in Sabarmati Ashram Gaushala Trust [2014 (1) TMI 1539 - GUJARAT HIGH COURT] that all these objects of the trust were of the general public utility and would squarely fall under section 2(15) of the Act. Recently, ITAT Mumbai Bench in the case of Shree Nashik Panchvati Panjarpole v. DIT (Exemption) [2014 (9) TMI 267 - ITAT MUMBAI] held that the assessee trust was established for the purpose of cow breeding and protection of cows and oxen. In this case, the Tribunal held that the trust can be considered as one created for charitable purpose. The dominant function of the trust was to provide asylum for old, maimed, sock, dry, weak, disabled and stray animals and birds, more particularly cows and other such cattle milk and to bring about improvement in breeding cattle for the beneficial promotion, upkeep, maintenance and propagation of cows and other types of cattle. Thus, the dominant object of the trust is to run Panjrapole and activities related to it. The Tribunal held that these objects constitute charitable purposes. While holding so, the Tribunal relied on the judgment in the case of CIT v. Swastik Textile Trading Co.(P) Ltd.,[1977 (7) TMI 30 - GUJARAT HIGH COURT] wherein, held that establishing and maintaining Gaushalas and Panjrapole constitutes charitable purpose. We hold that the ld CIT was not justified in refusing grant of registration to the assessee -trust on this count. Following clause was not incorporated in the trust - "Expressly prohibiting the distribution of assets/immovable property in the event of dissolution of the trust/institution among the trustees" - In view of clause 26 of the trust deed, above objection of the ld CIT is not sustainable. It appears that the Ld CIT has passed the impugned order in a hurry without looking into the express provisions of clause 26 of the trust deed. Accordingly, we hold that the objection raised by ld CIT is not correct and, hence liable to be rejected. Objects and activities of the trust is not for any particular caste, creed, community or religion is not clearly mention - Above objection of ld CIT is irrelevant, particularly when nowhere in the trust deed, it is stated that the trust is created for the benefit of a particular caste, creed, community or religion. When there is no such clause in the trust deed, it is obvious that the trust is not created for the benefit of any particular caste, creed, community or religion. Objections raised by ld CIT for not allowing the registration to the assessee trust are not tenable and hence, we reject the same. - Decided in favour of assessee
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