TMI Blog2017 (11) TMI 1224X X X X Extracts X X X X X X X X Extracts X X X X ..... Ms Arachana ORDER 1. By way of this appeal, the appellant has challenged the judgment and order of the Tribunal whereby the Tribunal has allowed the appeal preferred by the assessee and directed to grant registration under Section 12AA of the Income-Tax Act, 1961. 2. This Court while admitting this appeal on 18.7.2017, framed following substantial questions of law: Whether on the facts and circumstances of the case, the Hon ble ITAT was correct in law in ignoring the intention of law behind inserting the Section 12AA(4) w.e.f. 01.10.2014 under the provisions Procedure for Registration which inherently empowers the CIT to examine the violation of Section 13(1) of the Act at the time of registration itself which was establi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... do in a fair manner. All the profit generated by charitable activity should be used towards the object of the society and no profit should be distributed to any of the stake holders. In the present situation the society in collaboration with M/s Career Point Limited has created a scheme where only the name of the society is being used and the funds of the society is reaching in the hands of M/s Career Point Limited and the same will be distributed as profit to the share holders of the company. If such scheme is allowed to function, the basic purpose of the charitable activity will itself be lost. Whether the society and M/s Career Point Limited are connected directly or indirectly has no impact in deciding the charitable nature of the activ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... identical issues, this Court observed as under:- 13. Before proceeding with the matter, it will not be out of place to mention here that in all the questions of law, the question which consideration before us is whether taking into account, the observations made in paragraph 10, the view taken by the tribunal is just and proper. At the time of registration, the authority is required to look whether it is registered under the state Act or under any other Act. There is no distinction between private trust and public trust. The contention which has been raised by counsel for the appellant regarding the expenses, diversion or control by the private people will come only when the assessment has taken place. For the purpose of trust register ..... X X X X Extracts X X X X X X X X Extracts X X X X
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