TMI Blog2022 (2) TMI 650X X X X Extracts X X X X X X X X Extracts X X X X ..... is running a printing press and publishing a newspaper. The profit so generated is used for charitable purposes and apparently there is no profit motive in the activities of the assessee. As such it cannot be said that the assessee is involved in any trade, commerce or business. Consequently, the mischief of proviso to Section 2(15) of the Act is not attracted to the present batch of matters. In any event, the assessee-society is charitable in nature as the profit, if any, made by the assessee-society is ploughed back for charitable activities. It is pertinent to mention that the assessee-society was set up by the late freedom fighter Lala Lajpat Rai. The appellant itself has granted the assessee registration under Section 12A, recogniti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the assessee is involved in any trade, commerce or business. The assessee is carrying the mandate of the Will of Late Shri Gopa Bandhu Dass in running the printing press and the newspaper and the income so generated is used for charitable purposes and apparently there is no profit motive in the activities of the assessee and as such it cannot be said that the assessee is involved in any trade, commerce or business and as such the mischief of the Proviso of section 2(15) is not apparently attracted. We further note that the Hon'ble Delhi High Court in the case of India Trade Promotion Organization vs. DGIT9E) 53 Taxmann.com, 404 (Delhi) 2015 order dated 22.1.2015 has upheld the constitution validity of the proviso of section 2(15) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 of the Income Tax Act, 1961 in the facts and circumstances of the present case? (2) Whether Hon ble income Tax Appellate Tribunal was justified in the eyes of law in treating the assessee as a charitable institution, even when the activities of the assessed fall under the last limb of Section 2(15) of the Income Tax Act, 1961, i.e. advancement of any other object of general public utility and the same is hit by the amended proviso to the said section? (3) Whether Hon ble Income Tax Appellate Tribunal was justified in the eyes of law in passing the impugned order overlooking the fact that the activities carried out by the assessee yielded income/profit to the society and are commercial in nature? (4) Whether Hon ble Income T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... held that the object of introducing first proviso is to exclude organizations which are carrying on business with profit motive with intent to distribute the profit to the shareholders/owners. 5. A perusal of the paper books reveals that the assessee-society is running a printing press and publishing a newspaper. The profit so generated is used for charitable purposes and apparently there is no profit motive in the activities of the assessee. As such it cannot be said that the assessee is involved in any trade, commerce or business. Consequently, the mischief of proviso to Section 2(15) of the Act is not attracted to the present batch of matters. 6. In any event, the assessee-society is charitable in nature as the profit, if any, made ..... X X X X Extracts X X X X X X X X Extracts X X X X
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