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TMI Blog2020 (12) TMI 466X X X X Extracts X X X X X X X X Extracts X X X X ..... e society was established in the State of Odisha to preach and teach the Gospel to the people of the District of Mayurbhanj by means of itineration and settled work at the Mission Stations. The constitution of the assessee society contains the objectives in the nature of religious as well as charitable purposes. On going through the amended constitution, the ld CIT(E) noted that the trust is basically a religious trust confined to the development, nourishment and extended Christianism in and around the district of Mayurbhanj as well as the State of Odisha. The CIT (E) noted that the trust constituted with an object to educate, treat and rehabilitate the leprose patients. He noted that from the constitution of the trust, it is noticed that the objects are entirely for religious purposes, which is as under: "To preach and teach the Gospel to the people of this district by means of itineration and settled work at Mission Stations within the district of Mayurbhanj and to establish indigenous churches." After considering the documents filed by the assessee trust, the CIT (E) noted that the entire such activities that were carried on and also being carried on by the assessee society, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant previously filed an application vide dated 23.3.2013 seeking registration u/s.12A of the Act, which was dismissed by the CIT (Exemptions) by passing order dated 27.9.2013. ld CIT DR further explained that against said order, the assessee filed appeal before the Tribunal vide ITA No.533/CTK/2013 , which was also dismissed by order dated 13.6.2014 and there is no change in the objects of the applicant society and no changes in the activities of the society, therefore, the issue is squarely covered in favour of the Revenue by the order dated 13.6.2014 of the Tribunal (supra). 9. In rejoinder, no other arguments have been placed by ld counsel for the assessee. 10. We have heard the rival submissions and perused the record of the case. It is not in dispute that the assessee society is registered in Australia and not in India. In the amended constitution, it is stated that the work of society is to run the leprosy home and le4prosy rehabilitation farm at Rajabasa in Mayurbhanj district. For the functioning of the society, funds came from Australia. From the relevant paras of the impugned order of the ld CIT(E). we observe that the assessee society has been denying registrati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the freewill offerings and gifts of the Lord's people and no personal solicitations or collections are authorised. CIT noted that as per the objectives stated in the amended constitutions, the prime object of the Assessee is to preach and practice, teach and educate the tenets of Christianity in the district of Mayurbhanj., neighboring districts and states. Therefore, the Trust is basically a religious trust confined to the development, nourishment and Christianism in and around the district' of Mayurbhanj as well as the State of Odisha. To rehabilitate leprosy sufferers was the secondary object. He also noted that according to the statement of faith annexed to the Constitution dt.30.4.2012 clearly establishes the manner in which the gist of essence of holy book Bible are being spread and extended among the common man. CIT, therefore, took the view that the Trust is not genuine and not created for charitable purposes. It is an institution created for the benefit of particular religious community or case and in view of the decision of the Hon'ble Supreme Court in the case of Palghat Shadi Mahal Trust, 254 ITR 212 where the benefit under the Trust were available only to Muslim ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tated therein are fulfilled. The first condition for allowing the exemption u/s.11 is that the person who is in receipt of the income must have made application for registration of the trust/institution in the prescribed form as well as in the prescribed manner to the Commissioner and such trust/institution is registered u/s 12AA. Section 12AA empowers the CIT to call for such documents or information from the trust/institution as he thinks necessary in order to satisfy himself about the genuineness of the activities of the trust/institution and for that he has to make such inquiries as he may think necessary. We noted that the assessee, before the CIT, as is apparent from the order passed u/s.12AA, submitted the document that the trust/institution was established on 21.1.1926 and the application for registration u/s.12AA was made on 20.3.2013. Before CIT the assessee submitted constitution as amended on 30.4.2012. The assessee submitted before us the Constitution marked as 'Recent Revised'. The constitution before us nowhere mentions when it has been revised, whether it is the same which has been filed before the CIT. Objects in the Constitution filed before us appear to be differ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... islature is fully aware that for carrying out trade, commerce or business there should be a profit motive, A trust or society which is created for charitable purposes does not have profit motive in carrying out its activities. Therefore, wherever the activities are of the nature of trade, commerce or business, it cannot be said that the trust/institution is engaged in charitable purposes. As the assessee has income from sale of literature as well as sale of agricultural product, the aforesaid discussion proves, that the activities of the trust/institution are not genuine. Even the assessee could not prove the genuineness of the trust/institution. We, therefore, do not find any illegality or infirmity in the order of the CIT, as in our opinion, any trust/institution seeking registration u/s.12AA has to be governed by the Indian Income tax Act. We, accordingly, dismiss the appeal filed by the assessee." 11. On a specific query from the Bench, ld counsel for the assessee could not and have not controverted the findings recorded by the ld CIT (E) in the previous order dated 27.9.2013 and impugned order dated 31.3.2015. Ld counsel for the assessee could not show any change in the objec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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