Charitable purpose definition limits tax exemption when commercial activities exceed prescribed permissible receipts. The statutory meaning of 'charitable purpose' under section 2(15) includes relief of the poor, education, yoga, medical relief, preservation of environment and monuments, and advancement of public utility; the latter is excluded where activities are commercial or for a fee, unless such commercial activity is ancillary to the charitable object and receipts from it do not exceed prescribed thresholds. Legislative amendments and assessment provisions make tax exemption unavailable by operation of law for the previous year in which those limits are breached, irrespective of formal cancellation of registration, and specified charitable services receive conditional GST exemptions.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
The statutory meaning of "charitable purpose" under section 2(15) includes relief of the poor, education, yoga, medical relief, preservation of environment and monuments, and advancement of public utility; the latter is excluded where activities are commercial or for a fee, unless such commercial activity is ancillary to the charitable object and receipts from it do not exceed prescribed thresholds. Legislative amendments and assessment provisions make tax exemption unavailable by operation of law for the previous year in which those limits are breached, irrespective of formal cancellation of registration, and specified charitable services receive conditional GST exemptions.
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