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2020 (2) TMI 15 - AT - Income TaxEligibility of exemption u/s 11 - whether the assessee trust is entitled to exemption under s.11 of the Act on surplus arising from carrying on of activities in the nature of safety training programme etc. ? - HELD THAT:- In the instant case as the income of the trust are being stated to be ploughed back for the furtherance of objects of the trust, such activities would not portray the character of commercial nature. Therefore, applying the principles, the activities of the trust cannot be deemed to be a commercial venture. Thus, in our considered view, the activities of the assessee cannot be excluded from the ambit of definition of Section 2(15) of the Act where the registration of the assessee is in force. The assessee, in our view, would be entitled to deduction under s.11 of the Act on surplus as claimed. Viewed from a different angle, multifaceted activities in the form of handbook/literature published together with stated activities like holding conferences on industrial safety programmes, public talks, seminars, workshops etc. on ongoing basis to inculcate safety measures would also be bracketed in the league of ‘educational activities’ when tested in the light of the decision in the case of Ahmedabad Management Association [2014 (8) TMI 638 - GUJARAT HIGH COURT] took note of the changing times and ever widening of horizon of knowledge, rapid changes in the method of teaching for constituting the word ‘education’ used u/s .2(15) of the Act. Thus, on a fair reading of the activities carried out, the assessee, in our view, would be entitled for exemption under s.11 of the Act without any demur. - Decided in favour of assessee.
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