TMI Blog2018 (3) TMI 386X X X X Extracts X X X X X X X X Extracts X X X X ..... ies of the Respondent institution are not genuine one or that the said activity carried out are not in consonance with the object of the institution. The Commissioner has merely relied on proviso to Sub-Section 2 of Section 15 of the Act, as it stood then. The said proviso has subsequently gone amendment. Tribunal justified in restoring the registration under section 12A - Held that:- As is evident from the Section 13 of the Act itself, it comes into play while applying Section 11 of the Act. It is in domain of the Assessing Officer during the assessment proceedings and not a basis for cancellation of registration. Besides, the amendment not being in the spirit of Charitable Trust, cannot be the basis of cancellation under Section 12AA( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onsideration : (i) Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in restoring the registration under section 12A of the Act? (ii) Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in restoring the registration under section 12A without appreciating the fact that as a result of amendment to the trust deed dated 04.04.2005, the absolute control over the management and conducting the activities of applicant trust was with the Chief Trustee, for all times to come, thereby barring the public from access to the properties / funds of the applicant trust? 4. Regarding question no.(i) : (a) Mr. Tejveer Singh, learned Counsel appearing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ust and powers / management of the Trust. The amendment according to the Tribunal dealt with the powers of the management of the Trust rather than the objects of the Trust. Thus, set aside the order of the Commissioner cancelling the registration. (c) Mr. Tejveer Singh, learned Counsel appearing for the Revenue placed reliance upon an order dated 22nd January, 2018 passed in the Principal Commissioner of Income Tax Vs. Maharashtra Cricket Association (Income Tax Appeal No.748 of 2015) wherein the following question has been admitted for consideration : (iii) Whether on the facts and circumstances of the case and in law, the Tribunal did not err in holding that even after addition to the objects clauses made without intimation to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce with the objects of the Trust. In this case, undisputedly, the cancellation is not on the above two grounds but on the basis of breach of Section 13(1) (c) of the Act and against the spirit of Charitable Trust. None of these would justify cancellation. As is evident from the Section 13 of the Act itself, it comes into play while applying Section 11 of the Act. It is in domain of the Assessing Officer during the assessment proceedings and not a basis for cancellation of registration. Besides, the amendment not being in the spirit of Charitable Trust, cannot be the basis of cancellation under Section 12AA(3) of the Act. This is as vague as vague could be. The term spirit of a Charitable Trust is not defined in the Act nor elaborated in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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