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2021 (3) TMI 1355 - ITAT DELHIExemption u/s 11 & 12 - charitable activity u/s 2(15) - assessee is carrying on the activities of medical relief for eradication and education of HIV AIDS patients - Whether the activity of the Assessee did not cease to be a ‘charitable acitivity’ for the purposes of Section 2(15) because the Assessee charged a ‘management fee’ for defraying its administrative expenses? - HELD THAT:- As decided in own case [2019 (7) TMI 1448 - DELHI HIGH COURT] assessee is a company registered under Section 25 of the Companies Act. It gives 85% of the donation received by it to the Government of India for HIV Aids and only 15% of its total donation is given to other societies for awareness and treatment of poor HIV Patients. The entire amount spent by the Assessee is through societies and trusts. It also runs its own project for the welfare of HIV and AIDS patients. In the above circumstances it has been held that merely because the Assessee charges management fees to defray the administrative costs it would not make its essential activity a business activity.- Decided against revenue.
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