TMI Blog2006 (11) TMI 249X X X X Extracts X X X X X X X X Extracts X X X X ..... aritable objects and there is no finding recorded by the CIT to the contrary. Be that as it may, the real objection of the CIT seems to be that the initial contribution of Rs. 500 made by the founder of the trust and dedicated to the objects of the trust is hardly sufficient to carry out the charitable activities of the trust. The sufficiency or otherwise, as rightly pointed out on behalf of the assessee, is not a relevant factor while dealing with an application for registration u/s 12AA. The section in terms does not make it a consideration for the grant of registration. The trustees have collected a sum of Rs. 5,71,927 towards contribution to the trust which has been deposited with the Punjab National Bank. The statement of account is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... based on Indian life values. (2) To help economically to the individuals dedicated in the field of education considering their ability, capacity and duration of service provided. (3) To select such Aacharyas in whose schools education based on India life values is provided and Indian Sanskars are given. To list such schools and affiliate them. (4) To do other works in the interest of nation and society. (5) To make regulations to fulfil the above objectives." A board of trustees was constituted under the trust deed which consisted of ten persons. The maximum number of trustees was to be fifteen. Detailed provisions were made in the trust deed regarding the functions of the board of trustees. 2. The assessee-trust applied for reg ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re the CIT. In para 5 thereof, the assessee has taken that it being a public trust has received contributions from the public and the balance in the bank as on date (21st Sept., 2004) was Rs. 5,71,927. In support of the submission, the copy of the bank statement was also attached. It was contended on this basis that even the objection of the CIT that with the paltry amount of Rs. 500, the charitable activities cannot be carried out is not justified on merits since the assessee has collected substantial contributions from the public from which the activities can be carried out. It is, therefore, pleaded that registration be granted to the trust. 4. The learned senior Departmental Representative strongly supported the order of the CIT. 5. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ere is a board of trustees constituted by the trust deed and the board has been authorized to collect contributions from schools and society to meet the objects of the trust and has been directed to deposit the contributions into the corpus fund. The corpus fund is to be invested in the prescribed modes and cl. 6.7 of the trust deed authorizes the trustees to utilize the earnings from the corpus fund towards meeting the objects of the trust. In special cases, the trustees have been authorized to utilize the corpus fund also for such purposes. The trustees have collected a sum of Rs. 5,71,927 towards contribution to the trust which has been deposited with the Punjab National Bank. The statement of account issued by the bank and which was pla ..... X X X X Extracts X X X X X X X X Extracts X X X X
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