TMI Blog2015 (1) TMI 1423X X X X Extracts X X X X X X X X Extracts X X X X ..... Commissioner of Income Tax had granted registration under section 12AA to these societies, the learned Commissioner of Income Tax should not distinguish the case of the assessee from the similarly situated assesses. Thus assessee trust existed for charitable purpose only and had done some activities in achieving its aims and objects also. Therefore, the assessee trust is eligible for registration under section 12AA CIT(E) has not disputed in the impugned order as to the nature of the aims and objects of the society which are covered under the definition of charitable purposes as defined u/s 2(15) of the Income Tax Act. Further as discussed above, it cannot be said that the appellant society is not doing the activities in pursuance of its main objects or that the aims and objects of the society are not genuine. no justification on the part of the Ld. CIT (E) for rejecting the application of the appellant society for registration u/s 12A - Decided in favour of assessee. - ITA No. 779/Chd/2014 - - - Dated:- 28-1-2015 - SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI T.R. SOOD, ACCOUNTANT MEMBER Appellant : Shri Tej Mohan Singh Respondent : Dr .Amarveer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of charity and reproduced section 2(15) of the Act with regard to the fact that if the activities of the assessee are in the nature of trade, commerce or business, the same cannot be considered as charitable purpose. The assessee trust was to justify as to how the aims and objects of the trust are covered under the clause charity as defined under section 2(15) of the Act. The assessee filed written submission before the learned Commissioner of Income Tax which is reproduced as under : The Pediatric Pulmonology Unit of the department of pediatrics conducted one CME and workshop and once National conference in the F.Y. 2012-13 under the name of Pediatric Pulmonlogy Programme in the status of AOP. The purpose of conducting these activities was to create awareness and education the doctor especially Pediatricians about the respiratory disorders/diseases of children which are on a rise these days and responsible for a lot of mortality and morbidity amongst children. Since the above said CME /workshop conference generated surplus funds and the AOP filed its income tax return for the year 2012-13 and tax was paid. Further, these educational activities is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llate Tribunal, Chandigarh Bench in the case of Shishu Suchinta Educational Society, Mohali Vs. CIT-II, Chandigarh in ITA No.1326/Chd/2012, in which vide order dated 15.7.2014, the Tribunal allowed the registration under section 12AA of the Act following the judgment of the Hon'ble Punjab Haryana High Court. The findings in paras 5 to 9 of the order of the Tribunal are reproduced as under : 5. The brief facts of the issue are that the assessee had filed application for registration under section 12A of the Act on 24.4.2012. The assessee society was registered under the Societies Registration Act, 1860 with the Additional Registrar of Societies, SAS Nagar,, Mohali vide certification dated 22..2.2012. The basic objective of the society was to impart education to all as mentioned in the Memorandum of Association. The CIT noted that the Shishu Niketan Model School, an existing society already registered under section 12AA since 1968 had been running four schools, two in Chandigarh, one in Mohali and one in Panchkula. The new society (the assessee) proposed to take on lease the management of existing school at Mohali to be run on day to day basis. The assessee did not f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n. In the present case, admittedly, the Society has not done any charitable work during the relevant period. There were no materials before the Commissioner to be satisfied of the genuineness of the activities of the trust or institution. 4.2. It is seen that the Society has been formed but no activity has been started even upto the date of closure of present proceedings. In the absence of any activities, there is no material before the undersigned to verify the genuineness of objects and activities of the Society. In view of the facts discussed above, the applicant Society is not eligible at the stage for grant of registration under section 12AA Act being no activity in the nature of charitable activity having been carried out since its inception. The application of the Society for registration under section 12AA of the Act is, therefore, rejected. The society may however, apply again after carrying out charitable activities to meet out its objectives. 7. We find that similar issue of grant of registration under section 12AA of the Act to sister concern i.e. Suchinta Education Society where the said society proposed to take over one of the school being run by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and to promote research work on medical side and to hold conference, etc., to create awareness and educating the doctors especially Pediatricians about the respiratory disorders/ disease of children which are on a rise these days. The aims and objects of the assessee and explanation given before the learned Commissioner of Income Tax clearly support the contention of learned counsel for assessee that the assessee trust is created for charitable purpose only. The definition under section 2(15) of the Act provides the definition of charitable purpose which includes relief to poor, education and medical relief. The learned Commissioner of Income Tax instead of considering the same has referred to the proviso of the same section and held the activities of the assessee to be adventure in nature without bringing any material on record as to how the assessee trust has entered into any business activities which are adventure in nature of trade. The aims and objects of the assessee are, therefore, clearly charitable in nature. The accounts ending 31.3.2014 shows that the expenses are incurred for conference and medicines for the poor patients which are directly connected to achieve the aim ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
