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2013 (7) TMI 648 - AT - Income TaxExemption certificate under section 80G(5)(vi) of the Income Tax Act, 1961 - Charitable purpose - renewal of exemption certificate under section 80G(5)(vi) of the Income-tax Act, 1961 – Alleged that activities are beneficial to manufacturers only. It will not be covered under section 2(15) under public utility. It is governed by the principle of mutuality – Held that:- Assessee-association was registered under the Societies Registration Act since July 16, 1945 - Considering the objects for which the assessee-association the learned Director of Income-tax (Exemption) vide an order dated June 22, 2001 granted registration under section 12A of the Income-tax Act to the assessee-association with retrospective effect from April 1, 1997 and the same is still subsisting - Assessee-association was granted exemption certificate under section 80G(5)(vi) of the Act by an order dated July 27, 2001 of the learned Director of Income-tax (Exemption), which was further renewed for another term covering the period of the assessment year 2009-10, considering the same objects contained in the memorandum of association. Registration of an institution under section 12A by itself is a sufficient proof of the fact that the trust or the institution concerned is created or established for charitable/general public utility purposes and it enjoys approval under section 80G of the Act - When on the same set of facts and circumstances of the case, renewal of registration under section 80G(5)(vi) has been granted for the earlier years and there being no change in the facts and circumstances of the years for which renewal is sought for. No any justification to reject the assessee's application for renewal of exemption certificate under section 80G(5)(vi) for the assessment year 2009-10 onwards - Director of Income-tax (Exemption)'s order rejecting the assessee's application under section 80G(5)(vi) is quashed – Decided in favor of Assessee. Further, relying upon the decision in the case of Sonepat Hindu Educational & Charitable Society v. CIT [2005 (5) TMI 52 - PUNJAB AND HARYANA High Court], wherein their Lordships applying the ratio of decision of the hon'ble Supreme Court in the case of Radhasoami Satsang v. CIT [1991 (11) TMI 2 - SUPREME Court] has held as - Res judicata can be applied in income-tax proceedings when a fundamental aspect has prevailed through different assessment years without being challenged one way or the other. In such cases it is not appropriate to change the position in a subsequent year – Being the same situation and circumstances as earlier years, there is no any justification to reject the assessee's application for renewal of exemption certificate under section 80G(5)(vi) for the assessment year 2010-11 onwards.
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