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2014 (8) TMI 305 - AT - Income TaxCancellation of registration u/s 12AA(3) – Object of general public utility Charitable or not u/s 2(15) – Held that:- The main object of the assessee is development of the area as per the mandate of U.P. Urban Planning & Development Act, 1973 - The activity undertaken by the Authority comes within the object of general public utility but it cannot be concluded that it involves the carrying on of any activity in the nature of trade, commerce or business - Unless the activity undertaken by the assessee comes within the ambit of trade, commerce or business, the proviso would not get attract - assessee-Authority has been created with the object of general public utility which is a charitable object within the meaning of section 2(15) and the proviso to section 2(15) is not applicable because assessee-Authority is not carrying out activity with any profit motive but the predominant object is welfare of people at large – thus, the registration is to be restored - Decided in favour of Assessee. Rejection of application of condonation of delay – Held that:- The delay can be condoned by the Commissioner in case of Trust or institution - there is a provision for condoning the delay in making the registration u/s 12A - The proviso (i) to Section 12A(1)(a) contained a provision for condonation of delay - if an application for registration of the trust is made after the specified period, the Commissioner may register the trust or institution from the date of creation of the trust or the establishment of the institution if he is satisfied, for reasons to be recorded, that the person was prevented from making the application before the expiry of the period for sufficient reasons - original application u/s 12AA was filed on 28-11-2003 with the Commissioner, Dehradun, which had been rejected and thereafter in view of the changed legal position i.e. order dated 20-1-2009, u/s 12AA granting registration by the Commissioner - there was reasonable cause for delay in filing the application which should have been condoned instead of adopting a technical view as taken by CBDT – Decided in favour of Assessee.
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