TMI Blog2015 (9) TMI 1434X X X X Extracts X X X X X X X X Extracts X X X X ..... s services for charitable purposes free of cost and for no gain and are for the benefit of public at large. As we have discussed in the preceding para, the assessee acquires land at nominal rates and after developing the same, the same land (is sold) on high profit which cannot be said to be a charitable activity. Even just for argument sake, under the present facts, if registration is granted, then every private colonizer will claim charity. See PUDA Versus CIT [2006 (6) TMI 141 - ITAT CHANDIGARH-B ] - Decided against assessee. - ITA No.628/Chd/2004 - - - Dated:- 10-9-2015 - SHRI H.L.KARWA, VICE PRESIDENT AND MS. RANO JAIN, ACCOUNTANT MEMBER For the Appellant : Shri A.K.Jindal Ms.Rattan Kaur For the Respondent : Shri Sunil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or amend the grounds of appeal before the appeal is heard and disposed off. 3. In substance, all the grounds raised as above are against the action of the learned Commissioner of Income Tax in rejecting the application of the assessee for grant of registration under section 12A(a) of the iia1, 1961 (in short the Act ). 4. During the course of hearing, the learned counsel for the assessee fairly conceded that the issue is squarely covered against the assessee by the order of the Chandigarh Bench of the ITAT in the case of Punjab Urban Planning Development Authority Vs. CIT, reported in (2006) 103 TTJ (Chd), 988, dated 1.6.2006. It was also submitted that the aims and objects of the assessee being similar to that of PUDA, the regis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... there was no restriction on application of money, the corporation was not held to be a charitable trust and consequently not entitled to exemption. Similar is the case in the present appeal of the assessee. During arguments, the learned counsel for the assessee invited our attention to the case of Maharashtra Housing Area Development Authority wherein registration was granted. The learned CIT-Departmental Representative contended that in the case of Market Committee, the ownership remains with the committee but in the case of the assessee it goes to individual and the learned CIT was not satisfied with the explanation of the assessee. Likewise in the judicial pronouncements in New Life in Christ Evangelistic Association (NLC) vs. CIT ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... conclusion of the learned CIT, as contended by learned CIT-Departmental Representative, that a charitable institution provides services for charitable purposes free of cost and for no gain and are for the benefit of public at large. As we have discussed in the preceding para, the assessee acquires land at nominal rates and after developing the same, the same land (is sold) on high profit which cannot be said to be a charitable activity. Even just for argument sake, under the present facts, if registration is granted, then every private colonizer will claim charity. The facilities which are provided to the plot holders are incidental to the commercial activity carried out by the PUDA and if certain facilities like parks, community center, s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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