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2020 (6) TMI 33 - HC - Income TaxRegistration u/s 12AA denied - huge cash balances, generation of huge surpluses in the past and non-furnishing of bank statements, which are essential elements to verify the genuineness of the activity of the applicant - CIT (E) has drawed conclusion from the balance sheet of the applicant in which the society is having huge cash balances in the form of FDR which could otherwise be utilized for expansion of education? - HELD THAT:- This case are covered by the decision of this Court passed in The Commissioner of Income Tax (Exemptions), Chandigarh vs. M/s Adesh Foundation (Regd.) [2019 (5) TMI 837 - ITAT AMRITSAR] wherein held why should a management, in no dearth of funds, risk its’ reputation and, rather, even the future of its’ institution, by asking for such ill gotten money? Clearly, we are unable to regard the present case as one of ‘distinct possibility’ i.e., the test or the threshold which, in our view, must characterize the impugned transactions of donations which the applicant-appellant targets while seeking benefit u/s. 80G(5), so as to oust its’ case for being a eligible for approval thereunder. In our view, therefore, the assessee cannot be denied approval - Decided in favour of assessee.
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