TMI Blog2017 (9) TMI 565X X X X Extracts X X X X X X X X Extracts X X X X ..... 17 - Shri Kul Bharat, JM And Shri Vikram Singh Yadav, AM Assessee by : Shri Rajeev Sogani (C.A) Revenue by: Shri Varindar Mehta (CIT) ORDER Per : Vikram Singh Yadav, A. M. The assessee has moved present appeal against the order dated 04.04.2016 passed by ld. CIT(Exemptions) wherein the assessee has challenged the denial of approval u/s 80G(5)(vi) of the Act. 2. The ld. CIT(Exemptions) in his order basically noted that since no charitable has been started by the assessee as per its objects, the case does not seem fit for granting exemption u/s 80G(5)(vi) of the Act. Accordingly, assessee s application was rejected. 3. The ld. AR submitted that the appellant Trust came into existence vide Trust Deed dated 04.08.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing judicial pronouncements: DIT(E) vs. Meenakshi Amma Endowment Trust (2013) 354 ITR 0219 wherein the Hon ble Karnataka High Court has held as under: 5 ..When the trust itself was formed in January 2008 with the money available with the trust, one cannot expect them to do activity of charity immediately and because of that situation the authority cannot come to a conclusion that trust was not intending to do any activity of charity. 6 A trust could be formed today and within a week registration under s. 12A could be sought as there is no prohibition under the Act seeking such registration. The activities of the trust have to be considered if such registration is sought much later than the formation of the trust or afte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on ble Karnataka High Court in the case Meenakshi Amma Endowment Trust (supra), we are of the opinion that the assessee was eligible for registration under section 12AA as well as for approval under Section 80G of the Act. 5. It was further submitted that without prejudice to above, attention is drawn towards the provision of section 293C which empowers the ld. CIT(E) to withdraw exemption if he is not satisfied with the extent of activities carried out by charitable trust. Thus, the remedy being made available under the law, there is no justification to reject the application at the threshold level for the reason of non-commencement of activities. 6. It was further submitted by the ld AR that the assessee trust has made contributi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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