TaxTMI 
TaxTMI 
2020 (2) TMI 1388
X X X X Extracts X X X X
X X X X Extracts X X X X
....made an application for grant of approval u/s. 80 G of the Act on 22/05/2019. Ld. AR submitted that, registration u/s. 80 G was denied to assessee due to lack of activities during initial stages. 3. At the time of hearing, the Ld. AR brought to our notice that on identical reasoning given by Ld. CIT (E) for not granting approval u/s. 80 G of the Act, this Tribunal in the case of Bhima Foundation v. CIT, ITA No. 946/Bang/2018 by order dated 20.09.2019 and SJF Philanthropic Organisation Corporate Affairs v. CIT (E), ITA No. 2283/Bang/2018 by order dated 15/12/2019, granted approval. In the aforesaid order, this Tribunal came to the conclusion that, assessee trust is newly set up and when approval u/s. 80 G is sought for and when period betwe....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nd are thus not in dispute. As far as the genuineness of the activities of the assessee trust is concerned, in our view, the said requirement has to be seen in the context of the establishment of the trust. Where the trust has been set up in the past and has been carrying out its activities at the time of moving the application, then it is no doubt true that while granting the registration under section 80G, the learned CIT(E) is within his powers and jurisdiction to examine the genuineness of the activities and how such activities are connected with the achievements of the objects for which the assessee trust has been set up. However, in a scenario where the assessee trust has been newly set up, as in the instant case, and within a period ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....s satisfied that the objects of the trust were charitable and that its activities were genuine as this is a condition for grant of registration u/s.12A of the Act. As per the requirements of Rule 11AA (5) of the Rules, it is incumbent on the part of the CIT(E) to spell out the conditions mentioned in sec. 80G (5) which has not been fulfilled by the assessee. Therefore, it can be safely concluded that the only reason assigned by the CIT(E) for not granting approval u/s.80G of the Act is the absence of activities of the trust from the date of coming into existence of the Trust. The Hon'ble Karnataka High Court in the case of DIT(E) Vs. Meenakshi Amma Endowment Trust, 354 ITR 219 (Kar), wherein the Hon'ble Karnataka High Court in the c....