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2010 (10) TMI 347 - HC - Income TaxExemption u/s 10(22) - The objects, afore-extracted, include establishing small scale industries of all kinds including soap manufacturing, oil manufacturing, match industry, spinning and weaving, blacksmithy, carpentry etc., and to aid and assist the poor, the grief stricken, the destitutes, and persons and animals suffering from calamities - These objects are alien to educational purposes and, since the exemption under section 10(22) is available only if the assessee-trust is an educational institution existing solely for educational purposes and not for purposes of profit, and as the existence of the assessee-trust is not solely for educational purposes, the benefit of section 10(22) of the Act would not be available to them Under section 13(1)(c)(ii), nothing contained in section 11 shall operate so as to exclude from the total income of the previous year of the person, in the case of a trust for charitable purposes, if any part of such income or any property of the trust or the institution is, during the previous year, used or applied directly or indirectly for the benefit of any person referred to in sub-section (3) - The amount advanced by way of loan on interest to M/s. B. K. Industries, Nizamabad (a firm in which the president of the trust was interested), and Rs. 1 lakh was given by way of loan to the founder's widow Smt. Janaki Devi, who was also one of the trustees of the assessee-trust, does not fall within any of the forms or modes of investment or deposit of money as referred to in section 11(5) of the Act - Decided against the assessee
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