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TMI Blog2013 (6) TMI 253X X X X Extracts X X X X X X X X Extracts X X X X ..... han the expenditure incurred during the relevant assessment year. From any angle, it cannot be said that the respondent-trust is not covered under section 2(15) of the Act. - Decided in favor of assessee. No notice was issued by the Commissioner to the respondent calling upon them to show cause with regard to the violation committed by them to cancel the exemption certificate granted under section 80G. In the absence of any such notice, the Commissioner committed an illegality in cancelling the exemption certificate granted in favour of the respondent. - it cannot be said that the activity of the respondent-trust is not charitable purpose and on the other hand it was commercial. - Decided in favor of assessee. - IT Appeal No. 5002 OF 20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pression that the exemption certificate requires renewal made an application to the Commissioner of Income-tax for renewal of exemption certificate. The Commissioner noticed the fact that section 80G came to be amended to the effect that exemption granted prior to October 1, 2009, need not require renewal. Accordingly, the Commissioner issued a notice to the respondent and under the impugned order, rejected the application of the respondents for renewal. In so far as this portion of the order passed by the Commissioner there is no grievance to both the parties. The Commissioner, while rejecting the application of the respondent, for renewal of exemption under section 80G proceeded to hold that the activity, i.e., carried on by the respo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such activity: Provided further that the first proviso shall not apply if the aggregate value of the receipts from the activities referred to therein is twenty-five lakh rupees or less in the previous year ;" The Tribunal noticed that the memorandum of association of the respondent-trust specifying the object of the trust and the same is as under : (a) To establish, run and manage a blood bank at Belgaum. (b) To construct establish, equip, maintain and/or mange laboratories workshops and to undertake scientific research. (c) Give grant of subscriptions and donations to hospitals, dispensaries, convalescent homes, asyalums, nursing homes, orphanages, etc. (d) Grant of medical help to the poor. (e) Establishment and maintenance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... instant case, the audited accounts of the previous year, i.e., 2009-10 specifies a receipt of Rs. 11,35,890. Further, it specifies that the expenses incurred during the relevant assessment year is Rs. 15,76,246. Firstly, the receipts are less than the amount specified in the second proviso to section 2(15) of the Act. Secondly, the receipts are less than the expenditure incurred during the relevant assessment year. From any angle, it cannot be said that the respondent-trust is not covered under section 2(15) of the Act. Therefore, we hold the first question of law against the Revenue and in favour of the assessee. A perusal of the impugned order passed by the Commissioner specifies that what was pending consideration before him was the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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