TaxTMI 
TaxTMI 
2018 (10) TMI 1384
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....eal of the assessee-society. 2. As per the appellant, following substantial questions of law arise for consideration in the present appeal:- i) Whether on the facts and circumstances of the case, the Hon'ble ITAT has erred in directing the approval to be accorded instead of reverting it back for re-examination following the spirit of judgment by the Hon'ble Allahabad High Court in appeal No.112 of 2013 in the case of CIT Vs. A.R. Trust as per which the Hon'ble ITAT does not have powers to direct registration even though the averred decision was in respect of 12AA matters? ii) Whether on the facts and in the circumstances of the case the Hon'ble ITAT is not perverse in holding that the CIT has not given v....
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....r, the receipt books maintained by the society shows receipts of donations but no address of donors had been mentioned. Further, the donations and amount received from sale of art have been intermingled to give it a colour of charity. 4. Aggrieved of the order of CIT(E), the assessee-society preferred an appeal before the Tribunal. The Tribunal allowed the appeal vide order dated 24.07.2017 and directed CIT(E) to grant approval under Section 80G (5)(vi) of the Act. Hence the present appeal filed by the revenue. 5. Section 12AA(1) and Section 80G(5)(vi) of the Act read as under:- 12AA. Procedure for registration.-(1) The Principal Commissioner or Commissioner, on receipt of an application for registration of a trust or institu....
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....sp; XX (5) This Section applies to donations to any institution or fund referred to in sub-clause (iv) of clause (a) of sub-section (2), only if it is established in India for a charitable purpose and if it fulfills the following conditions, namely : XX  ....
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....n sub clause (iv) of Clause (a) of Sub Section (2). 8. The Tribunal while allowing the appeal of the assessee recorded the findings of fact that the representative of assessee-society appeared before CIT(E) with complete books of account and donation receipts etc. It was further held that the assessee submitted a list of donors containing their names and addresses. 9. The Tribunal took into consideration the fact that the assesseesociety has already been granted registration under Section 12AA of the Act and its activities have been found to be charitable. It is pertinent to note that while granting registration under Section 12AA of the Act, Commissioner of Income Tax, Faridabad considered the fact that the assessee-society was engag....
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....assessee. Ld. C.I.T. (Exemptions) Chandigarh was of the view that appellant is into business of selling art work and rejected the application of appellant u/s. 80G(5)(vi) and did not understand that appellant has been granted registration u/s. 12AA by Ld. C.I.T. Faridabad on 30.06.2014. Ld. CIT(A) also failed to note that while granting the registration u/s 12AA detailed scrutiny of activities of assessee were done by Ld. C.I.T. Faridabad which were of charitable in nature. If the activities of appellant would not have been charitable, registration u/s 12AA should be denied to the appellant. On the same financial statements and Activity Report Ld. C.I.T. Faridabad granted registration u/s 12AA after being satisfied that activities of appell....