2014 (3) TMI 149

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....OR THE RESONDENT : BY ADV. SRI.P.K.R.MENON,SR.COUNSEL, GOI(TAXES), BY ADV. SRI. JOSE JOSEPH, SC, FOR INCOME TAX JUDGEMENT Per : Manjula Chellur, C.J.: Heard learned counsel for the appellant as well as learned Standing Counsel for the respondent. 2. It is not in dispute, appellant is a registered Trust under the name and style "Dawn Educational and Charitable Trust" running a school na....

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.... to run educational institutions and establish institutions of training and rehabilitation for mentally retarded persons, physically handicapped persons etc., enquiries revealed that activity of the trust is only to bring under its ambit the already existing Dawn International School run by the Managing Trustee Dr. Johnson Luckose. Commencement of the school is in 2006 and the trust formed in 2007....

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....ribunal endorsing views of the Commissioner. 4. Learned counsel arguing for appellant contends, charitable trust does not mean, it imparts education only to the poor. Even if poor children are excluded, it could still be charitable as long as running an educational institution. He tries to convince the Bench with his stand placing reliance on the decision reported in Nedumchalil C.Trust v. Muni....

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.... 12A of the Income Tax Act has to be considered. It is well settled that even if nomenclature of the trust may indicate it is meant for charitable purpose, but if activities reveal otherwise, that should weigh with the authorities who grant registration. Similarly, while considering claim of exemption, authorities under the Act would look into the actual activity of the institution, especially mai....