Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (12) TMI 886 - AT - Income TaxRegistration u/s 12AA and approval u/s 80G denied - Held that:- It was not proper on the part of the CIT to reject the application solely on the ground that the assessee has not commenced charitable activities as per its objects. When he has not expressed any doubt with regard to the charitable object of the assessee and when there is no other material before him to conclude that assessee’s activities are not genuine, there is no reason to refuse registration u/s 12AA of the Act. The grant of registration u/s 12AA of the Act does not automatically entitle the assessee for exemption u/s 11 of the Act. The Assessing officer is empowered under the Act to look into both the genuineness of the activities and application of fund and in case of any violation of the provisions contained under section 11 to 13 of the Act, the assessee would not be entitled for exemption u/s 11 and would be subjected to tax. That being the case, in our view, refusal of grant of registration u/s 12AA of the Act is not justified solely on the ground that the assessee has not commenced its activities. We are supported in our view by the decisions relied upon by the assessee. In that view of the matter, we set aside the order of the CIT and direct him to grant registration u/s 12AA of the Act to the assessee. - Decided in favour of assessee.
|