Donor-directed corpus contributions retain capital character despite exemption claims under section 10(23C)(vi), preventing their treatment as taxable...
Enhanced tax-audit threshold applies where banking records establish compliant non-cash receipts and payments, eliminating penalty exposure for audit ...
Transfer pricing consistency protects identical non-interest-bearing debenture terms from a later notional-interest adjustment without valid statutory...
Rectification of debatable deduction claims cannot reverse scrutiny-approved co-operative society interest income deductions as apparent record errors...
Cash-method accounting bars presumptive interest taxation, while unsupported securities and share-trading additions require reliable material and veri...
ITAT held that exemption under section 11 could not be denied merely because the trust earned substantial receipts from letting out its hall and auditorium. Applying the dominant purpose test, it found the assessee's real activities to be structured education, scholarships, library and research work, and welfare measures for weaker sections, with the hall receipts used for maintenance and charitable programmes. The letting activity was only incidental and ancillary to the charitable objects, with no private profit or diversion shown. The proviso to section 2(15) and section 11(4A) were held inapplicable, and the Revenue's appeal was dismissed.
ITAT held that exemption under section 11 could not be denied merely because the trust earned substantial receipts from letting out its hall and auditorium. Applying the dominant purpose test, it found the assessee's real activities to be structured education, scholarships, library and research work, and welfare measures for weaker sections, with the hall receipts used for maintenance and charitable programmes. The letting activity was only incidental and ancillary to the charitable objects, with no private profit or diversion shown. The proviso to section 2(15) and section 11(4A) were held inapplicable, and the Revenue's appeal was dismissed.
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