TaxTMI 
TaxTMI 
2020 (2) TMI 423
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....d/alter/modify ground of appeal before the final disposal of appeals. Avantika Krishi Gauraksha Trust, ITA No.911/Ind/2018 1. The Ld. CIT has erred in rejecting the application under section 80G(5)(vi) inspite of the trust having compiled with requirement of section 80G(5) read with Rule 11AA. 2. The Ld. CIT has erred in rejecting the application merely because assessee society is running education institution and charging fees. Appellant craves leave to add/alter/modify ground of appeal before the final disposal of appeals. 3. As the issues raised in these appeals are common they were heard together and are being disposed off by this common order for the sake of brevity and convenience. 4. Brief facts of the case as culled out from the records are that assessee(s) are the trusts running education institutions and Gaushale were granted registration u/s 12AA of I.T. Act vide order dated 9.10.2017. The assessee(s) made applications u/s 80G(5)(vi) for getting approval u/s 80G(vi) of the Act before Ld. CIT(Exemption), Bhopal which was rejected with the observation that "since the societies are running educational institutions and fees is being charged f....
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....appellant meets the requirement for being approved under section 80G, as prescribed under sub-rule (4) of rule 11AA of the Income Tax Rules, 1962. That the Hon 'ble CIT (Exemptions) has not considered the fact that even though the school is charging fees from the students, it has incurred losses as under:- Financial Year Surplus/(Deficit) (in Rs.) Cumulative surplus/(Deficit) (In Rs.) Paper book page No. 2014-15 35,128.00 35,128.00 60 2015-16 (91,491.00) (56,363.00) 55 2016-17 71,156.00 14793.00 49 That the Appellants relies on the documents filed atH the time of application/ during the course of hearing before Hon'ble CIT (Exemptions), as per Annexure enclosed. That the appellant's relies on the following decisions; (i) Srajan Shod Sansthan Samiti v. CIT (Exemption) (2019) 336 ITJ 181 (Trib.-Indore) (ii) Queen's Educational Society vs. CIT [2015] 372 ITR 699/231 Taxman 286/5 taxmann.com 255 (SC). 7. Ld. Counsel for the assessee prayed for giving direction to Ld. CIT (Exemption) for issue of certificate u/s 80G(5)(vi) of the Act in respect of both assessee(s) namely Krishna A....
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....nment (including watersheds, forests and wildlife) and preservation of monuments or places or objects of artistic or historic interest, and the advancement of any other object of general public utility: Provided that the advancement of any other object of general public utility shall not be a charitable purpose, if it involves the carrying on of any activity in the nature of trade, commerce or business, or any activity of rendering any service in relation to any trade, commerce or business, for a cess or fee or any other consideration, irrespective of the nature of use or application, or retention, of the income from such activity, unless- (i) such activity is undertaken in the course of actual carrying out of such advancement of any other object of general public utility; and (ii) the aggregate receipts from such activity or activities during the previous year, do not exceed twenty per cent of the total receipts, of the trust or institution undertaking such activity or activities, of that previous year; 15. In the light of the above definition "charitable purposes" when we go through the main objects of the assessee trusts we find that both the assess....
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.... its receipts and expenditure; 7 ] (v) the institution or fund is either constituted as a public charitable trust or is registered under the Societies Registration Act, 18608 (21 of 1860 ), or under any law corresponding to that Act in force in any part of India or under section 25 of the Companies Act, 19569 (1 of 1956 ), or is a university established by law, or is any other educational institution recognised by the Government or by a university established by law, or affiliated to any university established by law, 10 or is an institution approved by the Central Government for the purposes of clause (23) of section 10,] or is an institution financed wholly or in part by the Government or a local authority; 1 and] (vi) ^2 in relation to donations made after the 31st day of March, 1992 , the institution or fund is for the time being approved by the Commissioner in accordance with the rules 3 made in this behalf: Provided that any approval shall have effect for such assessment year or years, not exceeding 4 five] assessment years, as may be specified in the approval.] 17. The contention of Ld. Counsel for the assessee is that the assessee has fulfilled all the ....