2013 (9) TMI 1263

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....passed u/s 80G(5) rejected the application for the reason that the Assessee had given advances to 3 trusts namely K.M.Hospital Trust, Pathik Foundation and P.K.Charitable Trust, the aggregate balance outstanding as on 31.3.2008 was ₹ 51,59,865/- and therefore he was of the view that the advancing of advances without the permission of the Charity Commissioner was not as per conditions (ii) and (v) of S. 80G(5) and thereby was against the object of the Trust. Aggrieved by the order of DIT(E), Assessee carried the matter before Tribunal. Tribunal vide order dated 20.4.2012 restored the matter back to the file of DIT(E) for fresh adjudication. Pursuant to the order of ITAT in ITA No. 664/Ahd/2010 order dated 20.04.2012, DIT(E)after consid....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....dation (1987) 164 ITR 439. He further submitted that the Assessee has complied with the requirements of 80G and therefore the Assessee's application for renewal for exemption should be considered favourably. On the query from the Bench, the Ld. AR. submitted that the advance was granted prior to 1999, there is no agreement between the Assessee and the trust to whom the advance has been granted and further no interest has been charged by the assessee. The Ld. D.R. on the other hand supported the order of DIT(E). 5. We have heard the rival submissions and perused the material on record. It is an undisputed fact that Assessee is a trust which in the past was granted approval u/s 80G(5) which was valid from 1.4.2006 to 31.3.2009. The asses....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....08 was ₹ 45,000. Similarly, in the case of P.K.Charitable trust, the amount was advanced prior to 31st march 1999 but the exact date of advancing the amount is not available from the records placed before us. The amount outstanding as on 31st March 2000 was ₹ 50,000/- and the amount outstanding as on 31st March 2008 was ₹ 5,80,000/-. In case of amount advanced to K.M.Hospital Trust also, the amount was advanced prior to 31st March 1999 but the exact date is not available from the records before us. The amount outstanding as on 31st March 2000 was ₹ 27.32 lacs and the amount outstanding as on 31st march 2008 was ₹ 45.35 lacs. The details further reveals that the amount advanced has never been returned back fully....