TaxTMI 
TaxTMI 
2014 (5) TMI 1193
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....ioner, Junagadh under BPT Act on 29.10.2002. The main objects of the trust, as per trust deed, are to carry out charitable, educational as well as social welfare activities. The assessee-trust made an application for recognition u/s 80G(5) of the Income-tax Act on 13.09.2013 in the prescribed format. A report from the field office in this matter was called for by the office of Commissioner of Income-tax, Rajkot-III, Rajkot and, as per the report submitted by the AO, it was noticed that the assessee-trust has not spent 85% of the expenditure in F.Ys. 2010-11, 2011-12 & 2012-13. Therefore, the ld Commissioner of Income-tax, Rajkot-III, Rajkot vide impugned order dated 14.03.2014 rejected the application of the assessee-trust seeking recogniti....
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.... reasons for non-utilisation of 85% of trust's income towards objects of the trust. 5. As per Sec. 11 (2) of the Act, Where 85% of income referred to in clause (a) or clause (b) of sub-section (1) read with explanation to that subsection is not applied, or is not deemed to have been applied to charitable or religious purposes in India, during the previous year but is accumulated or set apart, either in whole or in part, for application to such purposes in India, such income so accumulated or apart shall not be included in the total income of the previous year of the person in receipt of the income, provided the following conditions are complied with, namely; (a) such person specifies, by notice in writing given to the Assessing office....
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....lfilling the condition for approval of the provisions of section 11AA of the IT Act. The trust deserves approval u/s 80G(5). 4. The Ld. C.I.T. has erred in coming to the conclusion based on irrelevant aspect that the trust has violated the conditions laid down in section 80G(5)(vi) and hence not entitle for approval u/s 80G(5). The trust deserves approval u/s 80G(5). 5. The Ld. C.I.T. has erred in not considering the real aspect of the provisions of section 80G(5) of the IT Act, 1961. The trust deserves approval u/s 80G(5). 6. The Ld. C.I.T. has erred in not considering the real aspect of the provisions that trust has already been registered u/s. 12AA of section 80G(5) of the IT Act, 1961. The trust deserves approval u/s 80G(5). ....
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....st also relied upon the decisions of ITAT, SMC Bench, Rajkot in the case of Shree Govindbhai Jethalal Nathvani Charitable Trust in ITA No.402/Rjt/2013 and also in the case of Unity Education and Charitable Trust in ITA No.657/Rjt/2012, wherein the Tribunal has followed the judgment of Hon'ble Punjab & Haryana High Court in the case of O.P. Jindal Global University (supra). Citing all aforesaid decisions, the Authorized Representative for the assessee-trust pleaded that the ld. Commissioner of Income-tax, Rajkot-III, Rajkot be directed to grant the recognition u/s 80G(5) of the Income-tax Act, 1961 as sought by the assessee-trust. 4. As against the aforesaid submission; Shri M L Meena, DR, appeared on behalf of the Revenue, vehemently supp....