The Tax Publishers2020 TaxPub(DT) 0262 (Bom-HC)

INCOME TAX ACT, 1961

Section 11

Where primary object of the Trust was to conduct work in area of research, studies, training, education, health, etc., on a non-profit basis, only for charitable purposes and Tribunal examined these object clauses and found that the objects of Trust were genuine, therefore, there was no error in the order of the Tribunal and appeal of Revenue was dismissed.

Charitable trust - Exemption under section 11 - Employment facilitation as charitable activity under section 2(15) -

Issue arose for consideration as to whether Tribunal was right in not appreciating the fact that employment facilitation as one of the main objects of assessee-company being non charitable/ commercial within the meaning of section 2(15) and also that the objects of assessee were not confined to territories comprised in India but encompass the whole world, thus defeating the very purpose of provisions of section 12AA. Held: The primary object of the Trust was to conduct work in area of research, studies, training, education, health etc. on a non-profit basis, only for charitable purposes. Tribunal examined these object clauses and found that the objects of Trust were genuine and that assessee was not incorporated for profit motive. Thus, there was no error in the order of the Tribunal and appeal of Revenue was dismssed.

REFERRED :

FAVOUR : In assessee's favour

A.Y. :



IN THE BOMBAY HIGH COURT

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