section 10(23)(C)

[JANARDHAN BUDDHATHI]

HI,

We have a trust which runs educational institution and we got the registration under section 11 of IT Act. Now we want to register under section10(23)(C) as our gross receipts are exceded 1 crore, but commissioner is denying to register our trust under that section due to there were inter trust transactions between our trust and other trust with same members.Can you please resolve the following queries-

1. Is it mandatory to get the registartion under section 10 as we had already registered under section 11. my contention is charity includes providing education.

2. eventhough there are inter trust transactions our ultimate objective is ti provide the education only. how can we defend our self?

Please resolve.

Thanks 

Janardhan

[Surender Gupta]

You query need detailed analysis of the facts and circumstances.

However, I have tried in TMI search and found some results may be useful for you. Please click this link for search results

AI Summary

Tax exemption registration questioned after denial due to inter trust transactions affecting charitable educational trust status. A trust running an educational institution with prior charitable registration applied for registration under the educational exemption category after gross receipts crossed the threshold; the commissioner refused registration citing inter trust transactions with another related trust. Key issues are whether separate educational exemption registration is mandatory despite existing charitable registration, and whether inter trust transfers between trusts with common members justify denial when the ultimate objective is provision of education. Resolution requires detailed factual analysis of the transactions and their alignment with the charitable educational purpose.