TMI Blog2014 (1) TMI 1034X X X X Extracts X X X X X X X X Extracts X X X X ..... of trust and also its financial statements and there is no adverse finding by the DIT(E) with regard to the genuineness or nature of activity of the Trust, it is to be presumed that the DIT(E) accepts the trust to be genuine - The DIT(E)'s observation that the corpus fund of Rs.10 lakhs has not been deposited in the bank account is also without any basis as facts on record clearly prove that the s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rust applied in Form No. 10A and 10G seeking registration under section 12A and approval under section 80G on 23.01.2009 before the DIT(E). The applications were rejected by the DIT(E) on the ground that the trust has not commenced its activity. Against the aforesaid order of rejection dated 06.05.2009 of the DIT(E), the assessee preferred an appeal before the ITAT, Hyderabad Benches. The ITAT vid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... query made by the DIT(E) the assessee explained the nature of its activities and also produced computerised account copies pertaining to the financial years 2008-09 and 2009-10. On examining the account copies the DIT(E) noted that as per corpus fund account, the opening balance as on 01.04.2009 was shown at Rs.10,05,004/-. In the fixed deposit account the opening balance is shown at Rs.10,00,000 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e heard the parties on this issue and perused the materials on record. There is no denying the fact that on the earlier occasion when the DIT(E) had refused to grant registration on the ground of non-commencement of activities the Tribunal has held that commencement of activities by the Trust is not a prerequisite to grant registration and approval under sections 12A and 80G of the Act. The Tribun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion for grant of registration cannot be sustained. The DIT(E)'s observation that the corpus fund of Rs. 10 lakhs has not been deposited in the bank account is also without any basis as facts on record clearly prove that the said corpus fund was deposited in a FD account with the bank. Considering the totality of facts and circumstances of the case, we direct the DIT(E) to grant registration under ..... X X X X Extracts X X X X X X X X Extracts X X X X
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