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2021 (3) TMI 405 - ITAT MUMBAIExemption u/s 11 - whether the activities of the assessee trust would fall within the realm of trade, commerce or business etc. and thus would be hit by the “proviso to Sec. 2(15)‟? - HELD THAT:- As the facts and the issue involved in the case of the assessee for the year in question before us i.e A.Y. 2013-15 remains the same as was there before the Tribunal in its aforesaid case for A.Y. 2009-10 [2015 (1) TMI 696 - ITAT MUMBAI] we, thus, respectfully follow the same. As held in own case none of its receipts can be said to be arising or accruing from the activities which can be said to be for the purpose of business or in the nature of trade or commerce. Here in this case all the activities are carried out in accordance with the objects and none of its activities have been found to be non genuine. The assessee's explanation before the DIT regarding nature of receipts clearly shows that they have been received from the members while pursuing objects of the society, specifically mentioned in the "objects" for which it was granted registration u/s 12A. Otherwise also, if any transaction of the trust which are incidental or ancillary towards fulfillment of the objects of other general public utility, will not normally amount to business trade or commerce, unless there is some intention to carry out business, trade or commerce on a permanent basis or for a reasonable continuity. The LD. DIT has not brought any evidence or material on record to show that the assessee was carrying out the activities on business or commercial principle or outside its objects. Thus on the facts of the present case it cannot be held that assessee's case is hit by proviso to section 2(15) or the registration granted earlier can be canceled within the ambit of section 12AA(3). Accordingly, we herein set aside the order of the CIT(A) and direct the A.O to allow the assessee‟s claim for exemption under Sec.11 - Decided in favour of assessee.
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