2015 (12) TMI 887

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....st deed dated 5.10.2012. Claiming itself to be a charitable trust, assessee filed an application in form no.10A before the Commissioner of Income-Tax, Rajahmundry on 25.4.2013 for grant of registration u/s 12A of the Act. The CIT in course of proceeding before him called upon the assessee to produce the trust deed and other details. After considering the objects of the assessee and other materials on record, the CIT rejected assessee's application for grant of registration basically for the reason that the assessee has not maintained any books of accounts from the date of inception of trust till 31.3.2013. He further noted that the trust vide letter dated 12.9.2013 has admitted that it is not having funds to conduct all the activities menti....

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....d. Therefore, the CIT was justified in rejecting assessee's application for grant of registration. 5. We have heard the parties and perused the materials on record as well as impugned order of the CIT. Undisputedly, the assessee was created by registered trust deed dated 5.10.2012 and it applied for registration on 25.4.2013. Therefore, it is not unusual that it could not commence any activities within such a short period. Further, admittedly when it has not received any funds nor commenced its activities, there is no need to maintain books of accounts. In the aforesaid circumstances, it cannot be held that as the assessee has not maintained books of accounts or commenced its activities, the activities are not genuine, hence, registratio....