TaxTMI 
TaxTMI 
2024 (11) TMI 641
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....2016. However, the ld. Revisionary Authority examined the assessment record and was of the belief that the assessment order is erroneous in so far as it is prejudicial to the interests of the Revenue as the ld. Revisionary Authority was of the view that the activities carried on by the assessee society falls in the category of commercial activity and not charitable activity, as such, the same is hit by second proviso to section 2(15) of the Act and the Assessing Officer has failed to examine the same in the assessment proceedings. The ld. Revisionary Authority also was of the view that the membership of Rs. 1,58,00,000/- has been received during the year and the same has been capitalized and treated as corpus donation in the books of account. However, there is no evidence on record that membership fee has been taken as per the provisions of section 13(1)(d) of the Act. The ld. Revisionary Authority was of the view that membership contribution is a voluntary contribution within the meaning of section 12 which can be made with contribution to form part of corpus and the membership, however, is in the nature of consideration for getting approvals, rights or benefits of institution. Th....
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.... Tax Act 1961. 5. That the order passed u/s 263 of the Act was further wrong on facts and erroneous on the point of law, because the Ld. CIT (Exemption) has either not collected any fresh material or ever placed upon records, on the basis of which he opined / hold that the assessment order passed by the Assessing Officer u/s 143(3) of the Act, was ever erroneous or prejudicial to the interest of revenue. 6. That the Ld. CIT (Exemption) further failed to consider the information provided, documents produced, filed and placed upon records in support of our contention, which have also been examined and verified by the Assessing Officer, prior to direct the concerned Assessing Officer to pass fresh order in the light of averments made in the said order. 7. That the Ld. CIT (Exemption) has further failed to consider / appreciate while passing order u/s 263 of the Act thereby giving direction to the concerned Assessing Officer to re-frame assessment of the society that the legitimate and bonafide claim of exemption u/s 11 & 12 of the Act is continuously to be allowed in the preceding Assessment Years and also the society still avail the benefit of Section 12A of the Income Tax Act ....
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....hat it had come into existence at the instance of erstwhile Oil Coordination Committee, which was nodal agency of the Government of India responsible for subsidy, administration, development, planning, exports, imports, distribution, planning, coordination, data maintenance, etc., and this body chaired by Addl. Secretary, Ministry of Petroleum and Natural Gas had decided to form assessee body which could represent all the petroleum related organizations in private, public and joint sector. 4.1 Taking the Bench across the objectives of the society, it was submitted that this body acts as an interface for the oil industry with the Government regulatory authorities, public and representative bodies of territories in the market, in order to bring oil majors on one platform to promote research and assist in research, in policy making, in hydrocarbon sector. It was submitted that the registration certificate allowed u/s 12AA(1)(b) of the Act and exemption u/s 80G(5)(vi) of the Act were valid till 5th September 2016 and, thereafter, the society had merged with another society M/s Petrotech, which had identical objectives and was also registered similarly under the Act. 5. The ld. AR had....
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....and 5188749/- for March 2008. On a query being raised by the bench that whether the assessee is still enjoying the registration under section 12 A of the income tax act or not, it was replied by both the parties-that still assessee is registered under section 12 A of the income tax act. Merely because the assessee is holding conferences and seminars which are according to us in furtherance of the object of education only against payment of fees will not make the object of the trust falling into the 6th category i.e. ' Any other object of general public utility'. Further more it is not the case of the revenue that assessee is not carrying on the objective for which it has been formed and the fees and the income earned* by the assessee is not used for charitable purposes. The Ld. departmental representative could not controvert the decisions relied upon by the Ld. AR. The revenue- also could not place before us any evidence to show that the objects of the assessee are not 'education'. In view of this we do not find any infirmity in the order of the Ld. CIT (A) in holding that assessee is entitled for deduction or exemption under section 11 and 12 of the income tax act as assessee is ....
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....e ITA No.6682/Del/2017, order dated 05.10.2020. It comes up that while making submissions to the notice u/s 263 of the Act, the present assessee had brought to the knowledge of the ld. Revisional Authority of the fact that in the case of M/s Petrotech, the Tribunal has found the identical activities to be covered under the first limb of section 2(15) of the Act. However, the same has not at all been considered by the Ld. Revisional Authority while passing the impugned order u/s 263 of the Act. 11. It appears that the ld. Revisional Authority was carried by the conclusion that the primary objective of the assessee is to secure and promote the business interest of its members and, therefore, it cannot be said to be a public charitable organization. We are of the considered view that any organization primarily formed to secure or promote the interest of its members who were themselves engaged in business activity does not lead to an inference that the objective of the society is also commercial in nature. It is unfair to label the assessee as 'lobbying agency.' The fact that it came into existence as an initiative of the Government of India shows that the purpose was to bring all the....