AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2023 (7) TMI 1461
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....961 (hereinafter called 'the Act'). 2. The brief facts of the case are that the application for registration of the assessee trust u/s. 12AB of the Act was filed on 16.05.2022 in Form 10AB under Rule 17A of the Income Tax Rules, 1962. As per the query letter issued by the ld. CIT(E), the assessee was required to submit a note on all activities conducted since inception/during the last three years and till 30.06.2022 and also submit a note specifying the main area of charitable/religious activities and a projection/plan for the main charitable/religious activities to be undertaken in the next two years. Also, the assessee was required to furnish the requisite documentary evidences to substantiate the charitable nature of activities being ca....
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.... appeal: 1. BECAUSE the Ld. Commissioner of Income-tax (Exemption) has erred in law and on facts in rejecting the application of the appellant for grant of registration under sub-clause (iii) of clause (ac) of sub-section (1) of section 12A of the Income-tax Act 1961 by erroneously holding that "the activities of the trust are not appearing genuine and in consonance of the object to the trust". 2. BECAUSE during the course of proceedings of registration under sub-clause of clause (ac) of sub section (1) of section 12A, the appellant had placed before Commissioner of Income-tax (Exemption) all such material and evidences which were required by the said Income- tax authority which also fully met the requirement of law and on a due consid....
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....e and expenditure account has been reproduced and it was pointed out that the income items include contribution from members, donations and bank interest. It was submitted that, thus, the ld. CIT(E) had completely mis-appreciated the fact of the case. Our attention was also drawn to pages 114 to 116 of the paper book filed by the assessee and it was submitted that these pages contained copies of invoices submitted before the ld. CIT(E) and pertain to charitable expenditure and was debited in the income & expenditure account. It was submitted that these invoices were filed before the ld. CIT(E) but the same were not considered at all while deciding on the assessee's application for registration u/s. 12AB of the Act. Our attention was further....
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.....0 Per contra, the ld. Senior Departmental Representative (DR) strongly supported the order of the ld. CIT(E) and submitted that the ld. CIT(E) had given a concrete finding that the activities of the trust were not genuine and that the expenditure incurred by the assessee trust was not in accordance with the objectives of the trust. It was pointed out by the ld. CIT (DR) that the objectives and activities of the trust were not in consonance. It was specifically pointed out by the ld. CIT DR that chara expenses incurred on Gau Sewa and the plantation expenses incurred did not fall within any of the objects as mentioned in the Memorandum of the Trust. It was submitted that the trust was bound to carry out activities within four corners of its....
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....im was not properly verified by the ld. CIT(E) because, apparently, she was looking at wrong set of facts. The ld. Authorized Representative has relied upon the judgment of the Jurisdictional High Court in the case of CIT vs. Reham Foundation, Lucknow (Supra) and has argued that the powers of the Tribunal are co-extensive to that of the Commissioner u/s. 12AA of the Act and, thus, it can direct for registration of the trust or institution. However, this power, in our considered view, comes with a caveat i.e. the order of registration can be issued only after recording satisfaction with regard to the genuineness of the activities of the trust as provided u/s. 12AA of the Act. In this Full Bench judgment, the Hon'ble High Court has furthe....