TMI Blog2015 (8) TMI 183X X X X Extracts X X X X X X X X Extracts X X X X ..... ciation of national and cultural heritage. A perusal of the information supplied in the reply to the show cause notice would go on to show that less than 10% of the students of a particular community were studying in the last year and for the earlier period, the percentage was even less. In such circumstances, the reasoning given that the appellant was only imparting education to a particular religion, sect or group was not based on any sound footing. The objects of the society have already been reproduced above which go on to show that society was to provide sound education to persons regardless of caste, creed, colour or distinction of any kind and help the children to and discover and develop potential as well as individuals by providing a well-rounded education. The charitable purpose under Section 2(15) of the Act provides for relief of the poor pertaining to education and the advancement of any other object of general public utility. The purpose to provide education to the children would fall very much within the charitable purpose and predominant purpose of the appellant has to be seen. See Commissioner of Income-Tax Vs. Jodhpur Chartered Accountants Society [2002 (4) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Commissioner that the school was affiliated with the ICSE Board and did not preach or teach Christianity. There was no period of religion and students were only taught that part of Christianity which made them human and secular. It was clarified that though the school was run by members of Christian society yet it was totally secular and no special emphasis was being given to students of Christian families or Christian staff employed. The percentage of students belonging to the said religion were also very small. The data showing the percentage was also attached with the said reply. The CIT rejected the said application as noticed vide impugned order dated 26.4.2013(Annexure A/1) on the reasoning that the purpose and objectives of the trust was for the benefit of a particular religious community keeping the provisions of Section 13(1)(b) in mind. The appeal was rejected by the Tribunal on the ground that the education was to be imparted primarily to the children of the Christian community which is contrary to the law. The main objective of the trust being to provide quality education in a Christian environment is also contrary to the law. Since the administration of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... v) To provide a well-rounded education and high academic standard and to develop responsible citizenship in our students. vi) To encourage appreciation of our national and cultural heritage and to promote national integration. vii) To promote global understanding and earth consciousness. viii) To broaden the scope of education by integrating work experience into the academic programmes. ix) To develop leadership through co-curricular activities. x) To provide clean, attractive, well-maintained and adequate physical facilities which reflect the above mentioned objectives and concerns. Under Section 12AA of the Act, the CIT has to call all documents and information from the assessee in order to satisfy himself about the genuineness of activities of the trust and after making such inquiries to pass the said orders. Admittedly in the reply to the show cause notice factum of additional information regarding the percentage of Christian children studying the school had been furnished which has now been appended with the present writ petition wherein the following details have been given:- Year Total students ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sub-section (1) shall be passed before the expiry of six months from the end of the month in which the application was received under clause (a) [or clause (aa) of sub-section (1)] of section 12A.] [(3) Where a trust or an institution has been granted registration under clause (b) of sub-section (1) [or has obtained registration at any time under section 12A [as it stood before its amendment by the Finance (No. 2) Act, 1996 (33 of 1996)]] and subsequently the [Principal Commissioner or] Commissioner is satisfied that the activities of such trust or institution are not genuine or are not being carried out in accordance with the objects of the trust or institution, as the case may be, he shall pass an order in writing cancelling the registration of such trust or institution: Provided that no order under this sub-section shall be passed unless such trust or institution has been given a reasonable opportunity of being heard.] A perusal of the above section would go on to show that the Commissioner has to satisfy himself of the objects of the trust and the genuineness of the activities and after giving an opportunity of being heard to the trust or the institution, a refus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... only for the benefit of a particular religion as such. Clause whereby it was provided that the help was to be provided to the needy for religious activities would not be sufficient to conclude that it was only purely religious in color and intent of the trust had to be seen and the purpose of religious and charity would overlap. Relevant observations read as under:- 36. In certain cases, the activities of the trust may contain elements of both: religious and charitable and thus, both the purposes may be over lapping. More so when the religious activity carried on by a particular section of people would be a charitable activity for or towards other members of the community and also public at large. For example, the practice of optional charity in the form of Khairat or Sadaquah under Mohammadan Law would be covered under both charitable as well as religious purpose. Further, while providing food and fodder to animals especially cow is religious activity for Hindus, it would be charitable in respect to non-Hindus as well. Similarly, service of water to the thirsty would find mention as religious activity in sacred texts and at the same time would qualify as a charitable activity ..... X X X X Extracts X X X X X X X X Extracts X X X X
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