2021 (2) TMI 989 - MADRAS HIGH COURT - Income Tax

Head Note / Extract:
Exemption u/s 11 - registration u/s 12AA denied - ITAT allowed the appeal and directed the Commissioner of Income Tax to allow registration of the Trust under Section 12AA - HELD THAT:- On a perusal of the order passed by the Tribunal, it is clear that the Tribunal has not gone into the issues that were decided by the Commissioner of Income Tax. While reversing the order passed by the Commissioner of Income Tax, the Tribunal should have considered the findings given by the Commissioner of Income Tax in detail. However, the Tribunal observed that the substitution or change of Trustees subsequent to the Trust Deed would not effect the original object unless the object itself is changed by the subsequent supplementary deed. When the Commissioner of Income Tax had given findings with regard to the induction of a minor as a Trustee and that the main object of the Trust would be lost by the subsequent supplementary deed, the Tribunal should have considered those aspects and given findings with regard to the same. Since the Tribunal has not considered those issues, we are of the considered view that the order passed by the Tribunal should be set aside and the matter be remitted back to the Tribunal for fresh consideration. - Appeal of revenue allowed for statistical purposes.