https://www.taxtmi.com/caselaws?id=773083 Surplus funds and interest-free advances by a charitable trust do not automatically justify denial of exemption; the authority must apply the fiduciary-character principle and assess nexus between funds raised and any advances or benefits to ascertain if an undue benefit occurred. Notional interest cannot be imposed without a specific charging provision and demonstrable nexus. Minor or isolated breaches do not convert a charity into a non-charitable entity; instead the matter must be the subject of precise analytical findings. The impugned measures were set aside and the case remitted for fresh adjudication requiring focused examination of objectives, nexus, and any undue application of funds. en-us Wed, 15 Jan 2025 00:00:00 +0530 Sat, 21 Mar 2026 12:39:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773083 Surplus funds and interest-free advances by a charitable trust do not automatically justify denial of exemption; the authority must apply the fiduciary-character principle and assess nexus between funds raised and any advances or benefits to ascertain if an undue benefit occurred. Notional interest cannot be imposed without a specific charging provision and demonstrable nexus. Minor or isolated breaches do not convert a charity into a non-charitable entity; instead the matter must be the subject of precise analytical findings. The impugned measures were set aside and the case remitted for fresh adjudication requiring focused examination of objectives, nexus, and any undue application of funds. Case-Laws Income Tax Wed, 15 Jan 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773083