2022 (2) TMI 650

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....essment Years (AY) 201011, 2012-13, 2013-14, 2014-15, whereby the appeals filed by appellant were dismissed. The relevant portion of the impugned order is reproduced hereinbelow:- "5. We have heard both the parties and perused the records especially the impugned order, Paper Book filed by the Assessee and the case laws relied therein as well as the relevant provisions of the Act on the issue in dispute. We find considerable cogency in the contention of the Ld. Counsel for the assessee that the assesse is a charitable institution and mere receipt of fees and income etc. cannot be said that the assessee is involved in any trade, commerce or business. The assessee is carrying the mandate of the Will of Late Shri Gopa Bandhu Dass in running t....

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....ly directed to allow the exemption to the assessee u/s. 11( 1 )of Act with all the consequential benefits by the Ld. CIT(A). Hence, we do not find any infirmity in the order of the Ld. CIT(A), therefore, we uphold the same and reject the grounds raised by the Revenue and accordingly, dismiss the appeal filed by the Revenue. 2. In the present appeals, the Principal Commissioner of Income Tax (Exemptions) Delhi has proposed the following questions of law:- "(1) Whether Hon'ble Income Tax Appellate Tribunal was correct in the eyes of the law in allowing benefit of exemption u/s 11 of the Income Tax Act, 1961 in the facts and circumstances of the present case? (2) Whether Hon'ble income Tax Appellate Tribunal was justified in the eyes of l....

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....sessee fell under the last limb of Section 2(15) of the Act. He emphasises that the activities carried out by the assessee yielded income/profit to the society and were commercial in nature. 4. This Court in ITA No.154/2021 titled 'Commissioner of Income Tax (Exemptions) Delhi vs. Association of State Road Transport Undertakings' has held that it is settled law that the first proviso to Section 2(15) of the Act does not exclude entities which are for charitable purpose but are conducting some activities for a consideration or a fee. This Court has further held that the object of introducing first proviso is to exclude organizations which are carrying on business with profit motive with intent to distribute the profit to the shareholders/ow....