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2019 (1) TMI 1411 - HC - Income TaxCharitable activity - letting out of premises for Technical education to the trainees of Jet Airways, Tata Sky only and not to the public in general - charitable activity v/s business activity - Held that:- The main object of the Trust is to impart education. For better utilization of its infrastructure, Assessee allowed the training programme of Jet Airways and Tata Sky, to be conducted at its premises and in the process, also participated in imparting training. It cannot be stated that the Assessee had undertaken any activity in the nature of commercial venture. As decided in assessee own case Assessee, was engaged in imparting education in the area of presea and postsea training to seamen and was not carrying out activity in nature of running coaching class. The first question as proposed by the Revenue is, therefore, not entertained. Accumulation u/s 11(2) - loan to other Trust of same objects without investing in modes specified in section 11(5) of the Act even though there is specific provision in section 13(1)(d) - Held that:- Delhi High Court in Director of Income Tax (Exemptions) v/s. ACME Educational Society [2010 (7) TMI 159 - DELHI HIGH COURT] held that grant of interest free loan by the Assessee Society, to another society for carrying on same activity, does not amounts either investment or deposit. Assessee would be entitled to exemption under the Act. This question, therefore, also is not required to be entertained.
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