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2008 (8) TMI 393 - AT - Income TaxRegistration u/s 12A - Rejected the application that trust has not made any Charitable Activity - Amended Trust Deed is not registered with the Sub-Registrar till that date - Activities of the trust are not Genuine - HELD THAT:- We have gone through the supplementary trust deed. The same is registered with the Sub-Registrar. We have also gone through the objects of the trust. The objects of trust are specifying purpose of religious activities. Such facts are also not disputed by the ld DR. The registration cannot be denied to the assessee for the reason that it is not carrying on charitable activities. Religious activities are also construed to be charitable activities as per the decision in the case of CIT vs. Radhaswami Satsang [1992 (9) TMI 71 - ALLAHABAD HIGH COURT] and the decision of the Hon'ble Supreme Court in the case of Hazarat Pirmahomed Shah Saheb Roza Committee vs. CIT[1966 (10) TMI 43 - SUPREME COURT]. The observations of CIT that trust deed does not specify the fate of assets and liabilities in case of dissolution of trust, it is observed that cl. 78 of the trust deed specifies that in case of dissolution of trust everything related to trust shall be handed over to the justful national Government. Thus, this observation of the CIT is contrary to the facts found on record. The law is now well-settled that while granting the registration to the charitable institution or trust, if it is at the commencement stage, the powers of CIT, with whom the application is filed by such trust/institution, are limited to the aspect of examining that whether or not the objects of trust are charitable in nature. So long the objects of the trust are charitable in nature, registration cannot be refused, if the trust is genuine. Therefore, we find no material on record to justify the action of the CIT vide which the assessee trust has been refused for grant of registration. We direct CIT to grant registration to the CIT (sic-assessee trust). The appeal filed by the assessee is allowed.
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