TMI Blog2006 (2) TMI 108X X X X Extracts X X X X X X X X Extracts X X X X ..... accomplishment of its objects - we answer the questions of law in favour of the Revenue and against the assessee - - - - - Dated:- 20-2-2006 - Judge(s) : P. D. DINAKARAN., P. P. S. JANARTHANA RAJA. JUDGMENT The judgment of the court was delivered by P.P.S. Janarthana Raja J.- The Tax Case (Appeal) Nos. 1547 to 1549 of 2005 are filed under section 260A of the Income-tax Act, 1961, by the Revenue, against the order of the Income-tax Appellate Tribunal, Madras, "C" Bench, in I.T.A. Nos. 447, 448 and 449/Mds/96. The Tax Case (Appeal) Nos. 259 to 261 of 2004 are filed by the Revenue against the order of the Income-tax Appellate Tribunal, Madras, "C" Bench in I.T.A. Nos. 4186, 4187 and 4188/Mds/87 and the same were admitted on July 23, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... extension of educational institutions, technical, industrial and otherwise, including schools, colleges, polytechnics and research associations and the institutions, workshops etc. hostels for the benefit of students and to award scholarships for the study, research and apprenticeship for all or any of the said purpose; (c) To establish, maintain, run, develop, improve, extend, grant donations for, and to aid in the establishment, maintenance, running, development, improvement and extension of libraries, reading rooms, recreation centres and other facilities as are calculated to be of use in imparting education to the Indian public. (d) To build, erect and construct and to aid and assist in the building, erection and construction of ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to the exemption under section 11 of the Act on the ground that the case will come within the purview of section 13(1)(bb) of the Act. Aggrieved by the order, the assessee filed an appeal to the Commissioner of Income-tax (Appeals). The Commissioner of Income-tax (Appeals) allowed the appeal of the assessee trust and set aside the order of the Assessing Officer. Aggrieved by that order, the Revenue filed an appeal to the Income-tax Appellate Tribunal. The Income-tax Appellate Tribunal dismissed the Revenue's appeal and confirmed the order of the Commissioner of Income-tax (Appeals) and held that the assessee-trust was entitled to exemption under section 11, as a charitable trust. Standing counsel appearing for the Revenue stated that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... omplishing a primary purpose of the trust; the business must, therefore, be carried on in the course of the actual accomplishment of relief of the poor, education or medical relief. As an example, a public charitable trust for the relief of the poor, education and medical relief that carries on the business of weaving cloth and stitching clothing by employing indigent women carries on the business in the course of actually accomplishing its primary object of affording relief to the poor and it would qualify for the exemption under section 11. The business that the trust carries on is that of running a newspaper. That business, though it is held by the trust as a part of its corpus, and, therefore, in trust, does not directly accomplish, w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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