https://www.taxtmi.com/caselaws?id=377279 A statutory development authority engaged in planned urban development, infrastructure provision, and preservation of environment and water bodies was held not to fall within the proviso to section 2(15) of the Income-tax Act, 1961. The decisive test was the predominant object of the activities: they were carried on to promote planned development of the city, not to carry on trade, commerce or business or to maximise profit. The existence of surplus, and receipts from sale of sites, rentals, interest, and statutory collections, did not by itself establish a profit motive or destroy the charitable character of the objects. The authority therefore remained entitled to exemption under section 11. en-us Fri, 22 Mar 2019 00:00:00 +0530 Wed, 27 Mar 2019 10:15:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=377279 A statutory development authority engaged in planned urban development, infrastructure provision, and preservation of environment and water bodies was held not to fall within the proviso to section 2(15) of the Income-tax Act, 1961. The decisive test was the predominant object of the activities: they were carried on to promote planned development of the city, not to carry on trade, commerce or business or to maximise profit. The existence of surplus, and receipts from sale of sites, rentals, interest, and statutory collections, did not by itself establish a profit motive or destroy the charitable character of the objects. The authority therefore remained entitled to exemption under section 11. Case-Laws Income Tax Fri, 22 Mar 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=377279