Political contribution deductions require assessee-specific proof before cash-back allegations can justify disallowance or unexplained-money additions...
The HC dismissed the revenue appeal and upheld the ITAT order directing registration under s.12AB of the IT Act. The court held that the Principal Commissioner/Commissioner must satisfy themselves as to the trust's objects and genuineness of activities under clause (a) r/w s.2(15) and record a written order of registration to be communicated to the applicant. Relying on the SC principle that a newly constituted trust may be registered on the basis of its objects even absent prior activity, the HC accepted the ITAT's finding that the assessee's objects are charitable and that denial of s.12AB registration based on actual activities was unsustainable; the appeal was dismissed.
The HC dismissed the revenue appeal and upheld the ITAT order directing registration under s.12AB of the IT Act. The court held that the Principal Commissioner/Commissioner must satisfy themselves as to the trust's objects and genuineness of activities under clause (a) r/w s.2(15) and record a written order of registration to be communicated to the applicant. Relying on the SC principle that a newly constituted trust may be registered on the basis of its objects even absent prior activity, the HC accepted the ITAT's finding that the assessee's objects are charitable and that denial of s.12AB registration based on actual activities was unsustainable; the appeal was dismissed.
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