https://www.taxtmi.com/caselaws?id=753053 ITAT Indore allowed the appeal challenging rejection of registration under Section 12AB. The assessee sought exemption under Section 11 for charitable activities under Section 2(15). CIT(E) rejected registration concluding commercial receipts exceeded 20% of total receipts. ITAT held that charging nominal fees for educational services to achieve charitable objects cannot constitute commercial activity. Following precedent in Crisp Society case, the tribunal noted that trusts may charge reasonable fees to cover costs when donations are insufficient. Since the assessee's educational activities were not disputed and fees were nominal, Section 11 benefits could not be denied. ITAT set aside CIT(E)'s order and directed grant of registration under Section 12AB. en-us Thu, 04 Jan 2024 00:00:00 +0530 Thu, 23 May 2024 09:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=753053 ITAT Indore allowed the appeal challenging rejection of registration under Section 12AB. The assessee sought exemption under Section 11 for charitable activities under Section 2(15). CIT(E) rejected registration concluding commercial receipts exceeded 20% of total receipts. ITAT held that charging nominal fees for educational services to achieve charitable objects cannot constitute commercial activity. Following precedent in Crisp Society case, the tribunal noted that trusts may charge reasonable fees to cover costs when donations are insufficient. Since the assessee's educational activities were not disputed and fees were nominal, Section 11 benefits could not be denied. ITAT set aside CIT(E)'s order and directed grant of registration under Section 12AB. Case-Laws Income Tax Thu, 04 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=753053