2012 (9) TMI 1009

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....he Respondent : Sri V. Srinivas ORDER PER CHANDRA POOJARI, AM: This appeal by the assessee is directed against the order of the Director of Income-tax (Exemptions) [DIT(E)], Hyderabad dated 29.3.2012. 2. The grievance of the assessee is in this appeal is that the DIT(E) is not justified in not granting registration u/s. 12AA of the Income-tax Act, 1961 on the reason that the trust can ....

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....ch was executed on 24.06.2011 that M/s SHV Energy India Private Limited is the author/founder of the assessee trust. From the information furnished by the above trustee, the DIT(E) noticed that the said company is a 100% subsidiary of M/s SHV (Steenkolen Handels-Vereeniging), which is a Dutch Multinational, carrying on business in different countries. From the trust deed, it is further noticed tha....

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....ity upon merger or amalgamation of the Author with any other entity and in case of winding up, the parent entity that held controlling stake in the Author, before the winding-up order is passed." 4. From such stipulation in the trust deed, it clearly shows that the above trust is not irrevocable. Its continuity is subject to the will of the said Indian Company, the Author of the trust, which in....

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....on revocation of the Trust Deed, all corpus fund granted under this Trust Deed, such other assets/ properties acquired by the trust in its name shall be transferred as per the author/founder's wishes and desires to another trust or society registered under the Income-tax Act, 1961 with similar aims and objects. Being so, the objects of the trust are not against the provisions of section 2(15) ....