TMI Blog1972 (2) TMI 6X X X X Extracts X X X X X X X X Extracts X X X X ..... on the facts and in the circumstances of the case, the Appellate Tribunal was justified in law in holding that the income of the assessee is exempt from tax under section 11 of the Income-tax Act, 1961? " The assessee is the Cochin Chamber of Commerce and Industry, Cochin, and the years of assessments are 1964-65, 1965-66 and 1966-67. The memorandum of association of the Chamber contained clauses very similar, if not identical, to those of the Indian Chamber of Commerce whose case we considered in the decision in Commissioner of Income-tax v. Indian Chamber of Commerce. For activities similar to that carried on by the Indian Chamber of Commerce, namely, the issuance of certificates for survey and weighment, the assessee had received amou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Income-tax Indian Chamber of Commerce has been taken by the Calcutta High Court and the reasoning is thus stated in the judgment : " An appropriate interpretation of section 2(15) of the Income-tax Act, 1961, is to consider the expression 'not involving the carrying on of any activity for profit' as qualifying the expression 'the advancement of any other object of general public utility' and not the other classes of charitable purpose mentioned in that section like relief of the poor, education and medical relief. That is the only way by which to avoid a conflict between section 11 and section 2(15) of the Income-tax Act, 1961, specially with the provisions of sections 11(1)(a) and 11(4) of the Income-tax Act, 1961. " With great respect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r all expenditure, and income over expenditure in these cases for the three years is not large. We consider that the object of the Chamber is to help its members engaged in trade or commerce and others in the same field and this is an object of general public utility. The income has to be exempted under section 11(1)(a) of the Income-tax Act, 1961. We, therefore, answer the question referred to us in the affirmative that is, in favour of the assessee and against the department. There will be no order as to costs. A copy of this judgment under the seal of the High Court and the signature of the Registrar will be sent to the Appellate Tribunal as required by sub-section (1) of section 260 of the Income-tax Act, 1961. - - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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