TaxTMI 
TaxTMI 
2012 (4) TMI 795
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.... (JM):- This appeal filed by the assessee is directed against an order dated 21-01-2010 passed by the Learned Director of Income Tax (Exemption), Ahmedabad rejecting the application for renewal of exemption u/s 80G(5) of the Incometax Act, 1961. 2 The brief facts of the case are that the assessee-trust filed an application for renewal of exemption u/s 80G(5) of the Act. On perusal of the accoun....
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....further explained that every year 85% of the income was applied and hence there was no accumulation u/s 11(2). To specific query wi th reference to section 11(1) explanation that 15% permissible limit u/s 11(1)(a) is also a income which is accumulated as set apart and any payment out of the same read with Explanation below section 11(2) to any other trusts or institutions shall not be treated as a....
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....the accounts are running account transaction and even during the year ended 31-3-2008 there were three payments of ₹ 20,000/- on 7-4- 2007, ₹ 10,000 on 7-7-2007 and ₹ 45,000/- on 30-10-2007. There were two recoveries of ₹ 25,000 and ₹ 20,000/- in October, 2007. Thus, advances made had no bearing to 15% income of earlier years. In fact, the income for year ended 31-3-2....
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....) are not satisfied in this case especially in view of the transfer of funds without the approval of the Charity Commissioner and against the object of the trust as discussed above. 3 Accordingly, the application for renewal of exemption u/s 80G(5) of this trust is rejected read with proviso to Rule 11AA(6) of the I.T. Rules. 4 However, for the sake of clarity it is stated that after complete ....