2010 (3) TMI 722

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.... ORDER Per G.C. Gupta, Vice President - This appeal of the assessee is directed against the order of Director of Income-tax (Exemptions),Hyderabad. 2. Grounds of appeal of the assessee centre around the issue of non-renewal of approval under section 80G of the Income-tax Act, 1961. 3. The learned counsel for the assessee submitted that the assessee-trust is running a school and a compu....

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....est of the persons, only nominal amount was charged for the services rendered. He referred to the Profit & Loss Account of the old age home, which shows that there was excess of expenditure over income by Rs. 60,923 for the year ending 31-3-2007. He submitted that it is not necessary to get the assessee trust registered under the A.P. Charitable & Hindu Religious Institutions Endowment Act, 1987 a....

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....ts non-registration under the provisions of the said Act. He relied on the impugned order of the Director (Exemptions). 5. We have considered the rival submissions carefully. We find that in recent times, the social fabric of the society has undergone a change and in the changed scenario running of an old age home with no profit motive, could not be said to be an activity in the nature of trade....

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....ils of amounts charged from other inmates by way of fees for rendering services to them range from Rs. 6,000 to Rs. 18,000 in the whole year. These nominal amounts charged only partially reimburse the actual expenditure incurred by the assessee trust on the inmates and by no means it could be said to be an activity with a motive to earn profit therefrom. In this view of the matter, we hold that th....