TaxTMI 
TaxTMI 
2025 (7) TMI 1424
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....iso to Section 80G(5) of the Act holding that the assessee trust is not entitled to get approval under Section 80G(5) of the Act as the assessee has not complied with the conditions mentioned in Section 80G(5)(iii) of the Act. 2. The grounds of appeal raised by the assessee are as follows: "1.That, the learned CIT (Exemption) has wrongly rejected the application filed in form no. 10AB for granting approval u/s 80G(5) of the I.T Act, 1961. 2.That, the findings of the learned CIT, (Exemption) are not justified in law as well as facts of the case and required to be deleted. 3.The assessee craves to add, alter, amend or delete any of the above grounds of appeal." 3. The facts necessary for disposal of this appea....
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....ities of the trust. The copies of provisional income & expenditure account & balance sheet for the period 15/04/23 to 19/03/24, were also submitted before the learned CIT (E ).The assessee submitted that income and expenditure of the trust are totally charitable in nature. The fund were utilized for financial help, educational help, medical aid, jivdaya expenses and bhojanalaya expenses. The copies of income & expenses ledger account were submitted, before the learned CIT(E ). The donation receipt and expenses vouchers were also submitted before the learned CIT(E ).Therefore, assessee submitted that there is no any religious expenses and the assessee- trust is not having any temple. Therefore, there is no violation as defined in the Explana....
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....urpose and the section 80G(5)(iii) of the Act, stipulates that the institution or fund is not expressed to be for the benefit of any particular religious community or caste. The plain reading of said provisions of the Act makes it evident that the provisions of section 80G(2)(a)(iv) of the Act is applicable only to such institution or fund which is established in India for Charitable purposes, there is no provision for transfer or application of fund for any purposes other than a charitable purpose. Therefore, learned CIT(E) noted that the assessee has violated the above referred provisions of the Income Tax Act and hence the assessee is not entitled to get approval u/s. 80G(5) of the Income Tax Act, therefore the assessee's application....
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....tration. Therefore, learned Counsel contended that the matter may be remitted back to the file of the CIT(E ) to examine the above expenses, to ascertain whether any expenditure is in the nature of religious, which is above 5% of the total expenses/ income of the assessee- trust, and after such examination, the assessee -trust may be granted approval under section 80G(5)(iii) of the Act. 8. On the other hand, Ld. D.R. for the Revenue submitted that this issue may be remitted back to the file of the Ld. CIT(E) to examine whether the expenses incurred by the assessee on religious is more than 5% or not. If the expenses on religious purpose is less than 5% of the total expenditure then the Ld. CIT(E) may grant the registration in accordance....
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.... particular religious community or caste. It is stated by the ld Counsel for the assessee that the funds received by the assessee- trust, have been exclusively utilized for providing financial aid, medical assistance, Jivdaya (animal welfare) expenses and expenses related to the Bhojanalaya (common Kitchen). The Trust has not incurred any expenditure on religious activities during the financial year 2023-24. The above facts were duly stated during the course of proceedings u/s 80G(5)(iii) of the Act and the assessee -trust has duly submitted the required documents to establish the genuineness of the activity of the Trust. We also note that as per the provisions of sub-section (5B) to section 80G of the Act, which states that a Trust which i....