TaxTMI 
TaxTMI 
2017 (12) TMI 791
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....Act, the Respondent herein found from the records that the assessee paid Rs. 1.5 crores & Rs. 0.85 crores to Modern Indian School for short MIS hereinafter, Chobhar, Kathmandu, Nepal on 01.12.2011 & 04.03.2015 respectively and was of the opinion that the assessee applied its funds outside India contrary to the provisions of sec. 11(1)(a) of the Act and u/s 11(1)(c) of the Act for not obtaining prior approval from the CBDT by general or special order for application of funds outside India. 3. In response to the said objections, the Assessee filed submissions dt:25-04-2016 by stating that the assessee was registered u/s 12A of the Act and there is no prohibition for donation to MIS is an educational institution in Nepal in terms of Clause ....
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....nt, the Assessee did not comply and filed no written submissions in response to the show cause notice dated 31.10.2016 and held that the activities of the Assessee are not genuine and are not being carried out in accordance with the objectives of the Trust and cancelled the registration granted u/s 12A of the Act vide his order dt:28-02-2017. 6. Aggrieved, the assessee is before us. The ld. AR submits that Clause-4 of the Trust Deed dated 17.08.1995 does not debar assessee to apply its funds for charitable purpose outside India as its objective was to give good quality education to the said Indian educational institution which was formed to give high quality education both traditional and innovative means and supporting the same placed o....
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....ed to give any reply in response to the show cause notice 31.10.2016. The ld. DR vehemently opposed the relief sought by the assessee before this Tribunal and prayed to dismiss the appeal and relied on the order of CIT(E). 8. Heard both and perused the materials available on record including the trust deed dt:17-08-1995 and magazines for years 2012, 2013, 2014 and 2015. It is observed from the record that the assessee applied its funds outside India where the said recipient institution was not registered in India u/s 12A of the Act. The contention of the ld. CIT(E) was that u/s 11(1)(a) & 11(1)(c) explains the applications of charity should be within India and if at all the application of charity is to be applied outside India, there mus....
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....ed in the case of Tamilnadu Cricket Association supra as relied on by the ld. AR. The facts therein are that the Tamilnadu Cricket Association the assessee therein is a member of Board of Cricket Control of India for short BCCI hereafter which is a member of International Cricket Council. The said BCCI holds test matches and one day international matches with visiting foreign teams and allots to various member cricket associations which organizes matches in the stadiums of state cricket associations. The State Cricket Association incurs expenditure for the conduct of such matches and is entitled to all in-stadia sponsorships, advertisements, beverage revenues. The BCCI earns revenues by way of sponsorships and media rights as well as franch....