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2019 (2) TMI 648 - HC - Income TaxCharitable activity - Entitlement to the benefits available under Section 12AA and Section 80G contrary to the proviso of Section 2(15) - reference to expression 'otherwise' - Held that:- Tribunal has set aside the order passed by the DIT (Exemptions) dated 30.09.2010 rejecting the claim made by the assessee for registration under Section 12AA on the ground that the activities of the assessee as contained in the Memorandum cannot be called as charitable in nature as defined under Section 2(15) of the Act. DIT in the order dated 30.09.2010 came to such a conclusion solely based on Clause xvi of the Rules and Regulations of the respondent and held that it speaks about conducting programmes for raising funds or otherwise. DIT observed that the term 'otherwise' is vague and cannot be called as charitable purpose. Tribunal while deciding the correctness of the said order, in our considered view, rightly held that the expression 'otherwise' has to be read along with the objects enumerated in the Rules and Regulations of the Assessee, which was found to be charitable in nature and of public cause. It would be well open to the AO to take note of the same while completing the assessment. Thus, in our considered view, the order passed by the Tribunal is perfectly legal and valid. - Decided against revenue.
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