TaxTMI 
TaxTMI 
2012 (12) TMI 63
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....that the assessee is a trust which is registered under sec. 12A of the Act vide certificate dated 8th February, 1993, copy placed on record. The assessee was also granted exemption under sec. 80G(5)(vi) of the Act and as per certificate placed on record dated 14th August, 2007, the said certificate is valid giving exemption under sec. 80G(5)(vi) from 1st April, 2007 to 31st March, 2010. The assessee filed application in Form No.10G dated 30th March, 2010 before the DIT(E) for renewal of exemption under sec. 80G of the Act. A copy of the said application is placed at Pages 1 to 5 of the Paper Book. From Page 5 it is observed that the said application was filed by the assessee on 30th March, 2010. However, the le....
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....s, as may be specified in the approval. Therefore, in view of the aforesaid omission of the said Proviso, the exemption granted to the assessee upto 31st March, 2010 continued to be valid thereafter. This position has been explained by the CBDT Circular No.5 explaining the provisions of Finance (No.2) Act, 2009 in Para 29.7 of the Circular, which reads as under:- "This amendment has been made applicable with effect from 1st October, 2009. Accordingly, existing approvals expiring on or after 1st October, 2009 will be deemed to have been extended in perpetuity unless specifically withdrawn. However, in case of approvals expiring before 1st October, 2009, these will have to be renewed and once renewed these shall conti....
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....r funds and also leads to wastage of time and resources of the tax administration in renewing such approvals in a routine manner. Therefore, it is proposed to omit the proviso to clause (vi) of sub-section (5) of section 80G to provide that the approval once granted shall continue to be valid in perpetuity. Further, the Commissioner will also have the power to withdraw the approval if the Commissioner is satisfied that the activities of such institution or fund are not genuine or are not being carried out in accordance with the objects of the institution or fund. This amendment will take effect from 1st day of October, 2009. Accordingly, existing approvals expiring on or after 1st October, 2009 shall be deemed to have bee....