TMI Blog2018 (11) TMI 1645X X X X Extracts X X X X X X X X Extracts X X X X ..... and distributing the same will amount to pure commercial transaction because it is purely a trading activity generating substantial profits. There is no element of charity in this kind of activity indulged by the assessee society. It is not a case where the assessee had imported raw materials and distributed the same amongst its members and other commercial entities having same kind of business on cost to cost basis. The activity carried out by the assessee at the most benefit the members of the assessee society and certain commercial entities having same kind of business as that of the members of the assessee society and the public who purchases the produce of these entities. Hence this venture of the assessee society cannot be inf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Act. The case was selected for scrutiny and notice U/s.143(2) 142(1) of the Act was issued on 23.09.2013 18.06.2014 respectively. Finally assessment order was passed U/s.143(3) of the Act on 27.03.2015 wherein the Ld.AO held that the activity of the assessee s trust is not charitable in nature by virtue of the proviso to Section 2(15) of the Act and thereby brought the entire income of the assessee under the ambit of tax. 4. At the outset, the Ld.DR submitted before us that in the case of the assessee for the assessment year 2009-10 to 2011-12, the issue was decided against the assessee and in favour of the Revenue by the Chennai Bench of the Tribunal in ITA Nos.2006 to 2008/Mds/2014 vide order dated 03.08.2016. The Ld. DR f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... distributed the same amongst its members and other commercial entities having same kind of business on cost to cost basis. The activity carried out by the assessee at the most benefit the members of the assessee society and certain commercial entities having same kind of business as that of the members of the assessee society and the public who purchases the produce of these entities. Hence this venture of the assessee society cannot be inferred beyond the scope of Advancement of any other object of general public utility . Therefore, relying in the decision cited by the learned assessing officer we are of the considered view that the proviso to section 2(15) of the Act would be applicable in the case of the assessee and accordingly, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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