9911796707
TMI Blog2012 (2) TMI 190X X X X Extracts X X X X X X X X Extracts X X X X ..... ropos are that assessee filed in application in Form No.10A on 30.12.2009 before ld. DIT(E), Chennai, for registration under Section 12AA of the Act. Ld. DIT(E) required the assessee to give certain clarifications and to cure certain deficiencies which were there, in his opinion, in the said application. Assessee appeared and furnished its explanation. However, ld. DIT(E) denied the registration sought, on account of two reasons. First was that two of the object clauses of the assessee-Trust mentioned development on new automobile design based on Anthro Biometric system and development of new Architectural design based on sacred rules (codes) and sacred geometry. As per ld. DIT(E), these could not be considered as charitable in nature. Seco ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts. 5. We have perused the order of ld. DIT(E) and heard the rival submissions carefully. Objects clause of the Trust as mentioned by the assessee in its grounds of appeal are reproduced hereunder:- (1) To carry on activities for the upliftment and development of tribal education, standard of living healthcare, housing and availability of Nutritional food in the society. (2) To undertake agricultural research and development and publication of the research conducted. (3) To support the artistic and cultural development in the society. (4) To ensure better facilities for the new born children and the mother. (5) To protect the species like rare birds, insects. (6) To protect the cows. (7) To develop a new automobile design bas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d backward people to prepare them for earning their own livelihood. (20) To give funds, Sponsorship and distribution of awards and Ph.d Research and Development. (21) Anthro Biometric based and Ancient Geometry based matter of child hospital and medical college. Ancient culture development and Ancient Geometry research and Ancient Music Instruments. The two clauses cited by ld. DIT(E) for denying registration to the assessee appear at (7) and (8). In our opinion, development of new automobile design based on Anthro Biometric System cannot by itself be considered as an object of religious nature. Similarly, development of new architectural design to construct the buildings based on sacred rules (codes) and sacred geometry also cannot be c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as and when such a contingency happens if it all it happens. In our opinion, ld. DIT(E) read into the clause a future contingent happening which was best left for the Assessing Officer to consider when he took up the assessment proceedings in the ordinary course of events. Act provides for revocation of the 12A registration in such contingencies. However, we cannot say that possibility of a future contingency with a remote probability will make the Trust itself a commercial venture. The clause of levying fees from apprentices which appear in clause 20 of the Trust deed, in our opinion, will not per se convert the assessee-Trust to a commercial establishment. 7. We are thus of the opinion that both the reasons raised by ld. DIT(E) for deny ..... X X X X Extracts X X X X X X X X Extracts X X X X
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