TMI Blog2015 (5) TMI 187X X X X Extracts X X X X X X X X Extracts X X X X ..... ognizes it. In any event, the activity which is carried out by the assessee is a purely commercial activity, howsoever altruistic be the motive, and it cannot be treated as an educational or charitable activity. - carrying out of the business activity is not incidental to achievement of the main objectives of the trust and, therefore, profits and gains of this business activity cannot be covered by the scope of section 11(4A) either. Just because the profits generated by a business activity are used also for charitable activities does not, by itself, entitle the business profits to be exempted from tax under section 11(4A). - Decided against Assessee. - ITA No.6501/Del./2012 - - - Dated:- 27-3-2015 - I C Sudhir And Pramod Kumar JJ F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat we are required to adjudicate in this appeal, as learned representatives agree, is whether income earned by the assessee from rendering legal consultancy is to be treated as exempt under section 11 or 12 of the Act. 4. To adjudicate on this issue only a few material facts are required to be taken note of. The assessee trust was created to assist, and provide donations and charity to, various kind of charitable activities. There is no dispute that the assessee has made contributions to these noble causes. During the course of scrutiny assessment proceedings, however, the Assessing Officer noticed that the assessee is in receipt of income from legal and consultancy services provided to different entities and claimed exemption in respec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hich is object of general public utility and has been found to be in the nature of trade, commerce or business, as appellant is providing legal and technical services and charging fee from them. In view of the above discussion and after putting reliance on the CBDT Circular, as discussed above, all the grounds No. 1 to 7 are dismissed. In this regard it is also held that y amendment brought in the statute by Finance Act, 2012 with retrospective effect, section 13(8) has been inserted which is effective from assessment year 2009-10 as per which if appellant has been found to be hit by provisions of first proviso to section 2(15) then exemption u/s. 11 and 12 of the Act will not be available. Accordingly action of the AO denying exemption u/s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... magazines, see pictures, visit art galleries, museums and zoos, you thereby add to your knowledge. Again, when you grow up and have dealings with other people, some of whom are not straight, you learn by experience and thus add to your knowledge of the ways of the world. If you are not careful, your wallet is liable to be stolen or you are liable to be cheated by some unscrupulous person. The thief who removes your wallet and the swindler who cheats you teach you a lesson and in the process make you wiser though poorer. If you visit a night club, you get acquainted with and add to your knowledge about some of the not much revealed realities and mysteries of life. All this in a way is education in the great school of life. But that is not th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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