1999 (2) TMI 42

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....stions referred are as follows : "1. Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was correct in law in holding that the property was held by the mutawalli under trust or other legal obligation for a public purpose of charitable or religious nature? 2. Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribuna....

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....wn as to which portion of the property will be used for charitable purpose and what portion will be utilised for the purposes "other than charitable", as such, the provisions of section 5(1) of the Act are applicable. Mr. B. Dayal, for the assessee, submits that the finding of the Tribunal is wholly in favour of the petitioner which has stated that in the waqf deed, the public were interested i....

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....cent. of the income of the waqf property was to be utilised either for the maintenance of waqf property for charity and also as a reserve fund for preserving the corpus and also for use on charitable and religious occasions and purposes by the mutawalli. Thus, we are inclined to agree with learned counsel that the public are interested in a substantial portion of the income of the waqf property an....

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....or any public purpose of a charitable or religious nature in India. This means that the purpose of the trust will be charitable or religious. It does not mean that a particular asset be wholly utilised or used for charitable or religious purposes in India. In the instant case, the finding of the Tribunal is clearly in favour of the petitioner which has held that the property was used for the re....