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ITAT allowed the assessee trust's appeal for statistical purposes, remanding the matter back to CIT(E) for reconsideration of 12AB registration. The tribunal found that operating a Dharmshala since 1962 should not automatically disqualify the trust from charitable status. The appellant was granted an opportunity to contest the original rejection of registration by presenting additional evidence and arguments regarding the nature of its activities, with the tribunal recognizing that running a Dharmshala does not inherently constitute commercial activity.
ITAT allowed the assessee trust's appeal for statistical purposes, remanding the matter back to CIT(E) for reconsideration of 12AB registration. The tribunal found that operating a Dharmshala since 1962 should not automatically disqualify the trust from charitable status. The appellant was granted an opportunity to contest the original rejection of registration by presenting additional evidence and arguments regarding the nature of its activities, with the tribunal recognizing that running a Dharmshala does not inherently constitute commercial activity.
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