Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2023 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (6) TMI 872 - ITAT AMRITSARGrant of approval u/s 80G (5) - Donations - scope of amended provisions of section 2(15) - claim denied as trust had utilised the public money raised through collection of fee from the students; donations from public, School bus fee etc., for the purpose of creating its own fixed assets or cash balances by way of earning profit in manner of carrying out commercial activity - as per CIT(E) real purpose of the trust is altogether different from the stated object in the memorandum of the society filed along with the statement of accounts in compliance to notice issued subsequent to the show cause notice to the assessee. HELD THAT:- The Honorable Apex Court in the case of SERVANTS OF PEOPLE SOCIETY [2023 (2) TMI 535 - SUPREME COURT] has observed that interpretation of section 2(15) had undergone a change, due to the decision of AHMEDABAD URBAN DEVELOPMENT AUTHORITY [2022 (11) TMI 255 - SUPREME COURT] The amended definition of section 2(15) states that in course of achieving objects of general public utility, the concerned trust, society or other such organization carry on trade, commerce or business or provide service and relation thereto for consideration provided that firstly the activities of trade, commerce, or business, or connected to achievement of its object of general public utility in relation thereto, does not exceed the quantified limits that is 20% of total receipts of the previous year. Appellant trust is required to file fresh application for grant of registration u/s 2(15) and consequently, the application for approval under section 80G(5).
|