Certificate-of-origin verification procedure governs preferential customs benefits; denial without retroactive verification was set aside with consequ...
Disciplinary Committee jurisdiction and mandatory investigation requirements invalidated cancellation of an insolvency professional's registration and...
Retention of seized property survives where recorded reasons support proceeds of crime, while stayed investigation periods are excluded from limitatio...
Specified income of Baddi Barotiwala Nalagarh Development Authority receives conditional tax exemption, retrospectively covering its designated assess...
Specified development authority income receives retrospective tax exemption, subject to non-commercial activity, unchanged income sources, and return-...
Unified Brand India framework introduces voluntary Trust Mark certification and funding support for export branding, packaging and global promotional ...
Origin Declaration authentication governs preferential tariff claims under India-UK CETA, requiring a validated reference number before import clearan...
The ITAT held that the proviso to section 2(15) applies only when an advancing general public utility carries on trade, commerce or business activity, to be assessed on the overall factual matrix by the dominant purpose test. Here, the Assessing Officer relied mainly on the nature and quantum of receipts without examining the trust objects or application of income. Rental income from property held under trust and interest from permitted investments was treated as incidental, not independent business income. As the activities were genuine, in furtherance of trust objects, and most income was applied to those objects, the proviso was not attracted and exemption under section 11 was allowed; consequential additions and disallowances were deleted.
The ITAT held that the proviso to section 2(15) applies only when an advancing general public utility carries on trade, commerce or business activity, to be assessed on the overall factual matrix by the dominant purpose test. Here, the Assessing Officer relied mainly on the nature and quantum of receipts without examining the trust objects or application of income. Rental income from property held under trust and interest from permitted investments was treated as incidental, not independent business income. As the activities were genuine, in furtherance of trust objects, and most income was applied to those objects, the proviso was not attracted and exemption under section 11 was allowed; consequential additions and disallowances were deleted.
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