2019 (9) TMI 1010

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....the Tribunal"), in I.T.A.No.1213/Mds/2012. 2.The above appeal was admitted on 09.07.2013, on the following substantial questions of law:- "(i) Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee trust is entitled for registration under Section 12AA of the Act when the preamble of the trust deed clearly mentions only about benefiting one religion? (ii) Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee trust is entitled for registration under Section 12AA of the Act when the objects of the trust mention both religious and charitable objects, in violation of Section 11(1)(a) which only allows exemptions t....

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....er Section 12AA of the Income Tax Act on the ground that the object of the Trust was religious. The Commissioner of Income Tax rejected the application on the ground that the Trust was spending money in receipts towards religious and administrative purposes and the activities claimed to be carried on by the said Trust were an admixture of both religious and charitable. The said Trust filed an appeal before the Income Tax Appellate Tribunal. Following the decision in the case of CIT V. Upper Ganges Sugar Mills Ltd. reported in 227 ITR 578 and in the case of State of Kerala V. MP.Shantiverma Jain reported in (1998) 231 ITR 787 (SC), the Tribunal allowed the appeal. Challenging the same, the Revenue filed an appeal before this Court contending....

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....en if the Trust is not created with both the objects, law does not make any disqualification for the trust to make an application for registration. Therefore, the Tribunal has correctly applied the provision of law and allowed the appeal." 7. The above-said decision squarely applies to the facts of the present case. Further, in the case of The Director of Income Tax (Exemptions), Chennai V. The Chartered Accountant Study Circle reported in CDJ 2012 MHC 658, the Division Bench of this Court, after taking note of the objects of the said Trust, which among other things was to conduct periodical meetings on professional subjects and to achieve the said objects, the assessee was publishing books, booklets, etc. on professional subjects ....