TaxTMI 
TaxTMI 
2014 (2) TMI 474
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....A(a) of the Act vide order dt. 29.4.2004. The assessee society is also notified u/s 80G of the Act for the period from 17.2.2006 to 31.3.2008 vide order dt. 29.8.2006. Nutrition Foundation of India was registered under Society Registration Act vide Certificate of Registration no.S/9610 dt. 22.8.1978. The main objects of the society are to undertake research in problem of mal nutrition of the country, to analyse and propose solution of specific nutrition problem. The receipts of the assessee are grant from Ministry of Health, Grant from Food and Agriculture Organisation, Rome, grant from Mid Day Meal programme, Donations etc." 2.1. The assessee filed a nil return of income on 31.10.2006. The AO in his order dt. 29.12.2008 came to a conclu....
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....rpose of the Trust and not for the personal benefit of Dr.Gopalan. He allowed the appeal. 5. Aggrieved the Revenue is in appeal before us on the following grounds. "1. On the facts and in the circumstances of the case, the Ld.Commissioner of Income Tax (Appeals) has erred in allowing the benefits of exemption u/s 11 and 12 of the Income Tax Act, as the assessee has failed to produce any concrete evidence in support of its claim that it has not violated the provisions of section 13(1)(c ) of the Act. 2. The appellant craves leave to add, alter or amend any ground of appeal raised above, at the time of hearing." 6. The Ld.D.R. Mr.Gunjan Prasad submitted that there is violation of S.13(1)(c ) as rent was paid for the premises at B ....
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....accepted by the Revenue and that the only ground taken by Revenue is that there is violation of S.13(1)(c ) for the reason that certain expenses were incurred by the assessee Society on the residential accommodation of the President. He submitted that the assessee society drew its inspiration from its Founder Trustee Mr.C.Gopalan and that Mr.C.Gopalan was 93 years old and his movements were restricted and under those circumstances he was conducting research work from his office-cum-residence. He vehemently contended that there is no personal benefit to Dr.C.Gopalan and it was in fact the assessee society that was benefitting from the services of Dr.C.Gopalan and not vice versa. He pointed out that the AO has not doubted the expenses incurre....
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.... Section 13 of the Income Tax Act, 1961 - Charitable or religious trust - Denial of exemption - Assessment Year 2007-08 - Whether provisions contained in S.13(1)(c) do not bar payment of reasonable salary for services rendered by an interested person and, it is only when such payment is found unreasonable or excessive that stipulation of clause (c ) of section 13(2) would be attracted - Held, yes (in favour of assessee). (c) ITAT Delhi Bench in Addl.DIV vs. Manav Bharti Child Institute & Child Psychology, pb 150-157, wherein it was held as under: Whether there is no prohibition in Act to remunerate interested persons but such remuneration should be commensurate with services rendered by them and so found, it cannot be said that provisio....