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2013 (2) TMI 70 - AT - Income TaxCancelled of registration granted u/s 12A(a) - assessee was hit by substituted Section 2(15) - receipts exceeding Rs. 10 lakhs - Held that:- DIT(E) has clearly mentioned that assessee’s objects were in the nature of advancement of object of general public utility coming within the ambit of Section 2(15) but he had cancelled the registration only for the reason that the receipts exceeded Rs. 10 lakhs. If the receipts exceeded Rs. 10 lakhs and if such receipts were of nature mentioned in first proviso to Section 2(15) AO would, no doubt, be justified in denying exemption under Sections 11 and 12. However, this will not be a sufficient reason for cancelling the registration granted to the assessee under Section 12A(a). If in the very next year, assessee’s receipts are less than Rs. 10 lakhs, then it will have to be granted the exemption available under Sections 11 and 12 if other conditions are satisfied. Thus nature of objects of the assessee cannot fluctuate in tandem with the quantum of receipts mentioned in the first proviso. See Rajasthan Housing Board (2012 (5) TMI 100 - ITAT JAIPUR) and Gujarat Cricket Association (2013 (2) TMI 29 - ITAT AHMEDABAD) - DIT(E) fell in error in cancelling the registration granted to the assessee under Section 12A(a) - in favour of assessee.
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