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TMI Blog2014 (7) TMI 207X X X X Extracts X X X X X X X X Extracts X X X X ..... hich was formed vide trust deed dated 16th June 1994. Looking to the charitable object of the trust, registration / approval under section 12A, was granted vide order dated 10th February 1995. The assessee had filed an application on 1st June 2010, for grant of certificate under section 80G, as was granted earlier to it in the earlier years. The DIT(E), on a perusal of the details filed by the assessee trust, noted that the assessee has not carried out any charitable activities during the last three years and has not incurred any expenditure on the same. The assessee, in response to the show cause notice, submitted that during the last three years, the trust has not received any donation and the trustees were running into heavy financial lo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rted receiving donation, it has actually carried out the charitable activities, which are evident from the income and expenditure account from the financial year 2010-11 onwards. He also showed some letters from the persons who have received medical aid from the trust. Thus, he submitted that simply because for a period of three years, no charitable activities were carried out, it does not lead to any inference that the assessee is not entitled for approval under section 80G. Regarding the decision of Patna High Court, he submitted that in the said decisions, despite the trust getting donations, the same were not utilised or utilised were not for charitable purposes. Thus, the ratio of the said decisions will not apply to the facts of the p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... learned DIT(E), has also not examined the assessee's contention that it has carried out the charitable activities from the financial year 2010-11, wherein it has received the donation and also utilised it for the medical aid. Under these facts and circumstances, we are of the opinion that the matter should be restored back to the file of the learned DIT(E), who shall examine the assessee's application afresh and in accordance with the conditions laid down in sub-section 5 of section 80G and also the assessee's contention after giving due and effective opportunity of hearing to the assessee.
6. In the result, assessee's appeal is partly allowed for statistical purposes.
Order pronounced in the open Court on 13th June 2014. X X X X Extracts X X X X X X X X Extracts X X X X
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