https://www.taxtmi.com/caselaws?id=761611 The ITAT Cochin allowed exemption under Section 11 to a trust conducting kuri and finance business. The revenue argued this activity fell under residual entry of Section 2(15) and was hit by Section 13(8) provisions. The tribunal held that income from kuri and finance business was utilized for charitable activities as per trust bylaws, not for trustees' welfare. The trust conducted minimal kuri business to fund charitable activities, unlike profit-driven corporate entities. Following precedents including Bharthashemam and Navodaya Gramin Vikas Charitable Trust, the tribunal ruled that money lending for charitable purposes doesn't disqualify Section 11 exemption. The department had previously accepted similar claims, making the denial inconsistent. en-us Fri, 08 Nov 2024 00:00:00 +0530 Wed, 13 Nov 2024 08:26:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=761611 The ITAT Cochin allowed exemption under Section 11 to a trust conducting kuri and finance business. The revenue argued this activity fell under residual entry of Section 2(15) and was hit by Section 13(8) provisions. The tribunal held that income from kuri and finance business was utilized for charitable activities as per trust bylaws, not for trustees' welfare. The trust conducted minimal kuri business to fund charitable activities, unlike profit-driven corporate entities. Following precedents including Bharthashemam and Navodaya Gramin Vikas Charitable Trust, the tribunal ruled that money lending for charitable purposes doesn't disqualify Section 11 exemption. The department had previously accepted similar claims, making the denial inconsistent. Case-Laws Income Tax Fri, 08 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=761611