TMI Blog2015 (9) TMI 600X X X X Extracts X X X X X X X X Extracts X X X X ..... f Shree Vasupujya Swami Jain Derasar Trust vs. CIT [2010 (8) TMI 937 - ITAT AHMEDABAD] wherein held that for serving a chartable purpose, it is not necessary that the object should be for the benefit of the whole mankind or all persons in a country or a State and it is sufficient if the intention is to benefit, a section of the public as distinguished from a specific individual or person. It was also held that the section of the community sought to be benefited must be sufficiently defined and identifiable by some common quality of a public or impersonal nature. As the above decisions were not cited by the assessee before the CIT (E) and the CIT (E) has not taken into consideration the aforesaid decisions for deciding the issue under app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... public. Therefore, it is concluded that the trust is created for the benefit of a particular community which does not enure for the benefit of the public, and thus, hit by section 13(1)(b) of the Act. 4. The AR of the assessee relied on the decision of the Hon'ble Gujarat High Court in the case of CIT Vs. Barkate Saifiyah Society, 213 ITR 492 (Guj) wherein the Hon'ble High Court held that section 13(1)(b) applies only to trust which were purely for charitable purposes and the assessee trust was charitable as well as religious in nature, and the assessee was entitled to exemption under section 11. It was submitted that similarly in the case of the assessee, the assessee-trust was formed for doing the work of religious and charita ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -college students and arrange to distribute medicines free of charges to needed patients. (8) Trust willing to arrange free religious Yatra Pravas for Sukhadiya Parivar and arrange to give necessary loan to Parivar's students for their Higher educational study. (9) Trust willing to try for uplift hidden abilities of people and inspire them to take part in Sports, Cultural Programme, Music, Drama and Dancing activities and arrange competition programme for these activities. (10) Trust willing to activities for EKTA brotherhood between all parivar members and arrange Melavada, Sanmelan, Sibir, Samuhlagna and for that willing to establish Community Hall, Bhojan Shala, Gnati-wadi and maintain and renovate wadi and arrange r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Yog-centre, Outdoor, indoor games, and to give proper understanding regarding welfare for Sukhadiya parivar, and arrange Parichaya Mela, Seminar, Magazine, Patrika, and other publication for better prospect of Society. 7. The Commissioner of Income Tax (Exemption) has after considering the following 3 objects has held that the trust was constituted for the benefit of a particular community and not for general public. (1) This trust main aims and objects to work for welfare of Shree Sayla Sukhadiya Parivar , charity work, and religious work for societies. (1) Trust willing to distribute note-books to Sukhadiya Parivar's school-college students and arrange to distribute medicines free of charges to needed patients. ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me common quality of a public or impersonal nature. 10. Further the Ahmedabad Bench-C of the Tribunal in the case of Shiya Dawoodi Bohra Jamat vs. CIT [2011 133 ITD 271 (Ahd), in ITA No.2767/Ahd/2009 vide order dated 8-7-2011 has held as under: 6. that Sec. 13(1)(b)reads as under: 13 Sec. 11 not to apply in certain cases - (1) nothing in s. 11 or s. 12 shall operate so as to exclude from the total income of the previous year of the person in receipt thereof - (a) (b) in the case of a trust for charitable purposes or a charitable institution created or established after the commencement of this Act, any income thereof if the trust or institution is created or established for the benefit of any particular religious community or c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Thus, the Tribunal rightly decided the issue of applicability of section 13(1)(b) holding that since the assessee was a religious trust, the provisions of section 13 (1)(b) were not applicable because they were applicable in the case of the trust established for charitable purposes. 12. We find that the above decisions were not cited by the assessee before the CIT (E) and the CIT (E) has not taken into consideration the aforesaid decisions for deciding the issue under appeal. 13. In the circumstances, in our considered view it shall be just and in the interest of justice to restore the matter back to the CIT (E) for deciding the issue after taking into consideration the above stated decisions. C.I.T. (E) shall allow reasonable and p ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
