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TMI Blog2015 (2) TMI 7X X X X Extracts X X X X X X X X Extracts X X X X ..... essee for registration of the trust. [See Dawoodi Bhora Jamat 2014 (3) TMI 652 - SUPREME COURT] - Decided in favour of assessee. - I.T.A. No. 909/M/2013 - - - Dated:- 30-12-2014 - Shri H. L. Karwa And Shri D. Karunakara Rao,JJ. For the Appellant : Ms. Aarti N Shah For the Respondent : Ms. S. Padmaja, DR ORDER Per D. Karunakara Rao, AM: This appeal filed by the assessee against the order of the CIT-III, Thane dated 13.12.2012. CIT rejected the application for registration u/s 12AA of the Act. Aggrieved with the above order of the CIT, assessee is in appeal with the following grounds. 1. The Ld CIT has erred in law as well s on facts of the case in not granting registration u/s 12AA of the Act to the appellant though the appellant is a public religious trust and not covered by provisions of section 13(1)(b) of the Act. 2. The Ld CIT has erred in law as well as on facts of the case in holding that the objects of the Trust include carrying out activities of charitable nature and objects were mixture of religious as well as charitable activities, and therefore, registration u/s 12AA was not granted to the appellant Trust. 3. The Ld CIT has erred in la ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he fact that arranging of Urs Niyaz and Majlis on religious occasions may constitute a religious act, assessee submitted that the dominant objects of the trust are for charitable purposes. Thus, it is the submission of the assessee that the objects are mixed and both for religious as well as for general public utility. In these circumstances, considering the dominance of objects for general public utility, the registration should be granted. Further, on the wrong spelling in the name appearing on the PAN, it is the submission of the assessee that the name mentioned in the Pass-Port tallies with the name of the settler as mentioned in the Trust Deed. In such circumstances, the registration cannot be rejected on such frivolous grounds. CIT considered the same and did not accept the explanation of the assessee and rejected the registration u/s 12AA of the Act. Aggrieved with the same, assessee is in appeal before the Tribunal by raising the above mentioned grounds. 3. During the proceedings before us, Ld Counsel for the assessee filed a copy of the order of the Tribunal in the case of Anjuman E Najmi Dawoodi Bhora Jamat vs. CIT vide ITA No.1495/PN/2013, dated 21.8.2014 and mentione ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for religious activities. f. To carry out all religious activities according to Shariat and direction of Shariat-e-Mohammediyah for the prosperity of the Dawoodi Bohra Community. 7. The above comparison of the objects of instant trust with that of the Dawoodi Bhora Jamat (supra), it is an inevitable conclusion that most of the objects are certainly comparable and the restriction is allowable to the instant assessee. The claim of the assessee for registration u/s 12A of the Act cannot be rejected on the ground of religious nature of the objects as held by the Apex Court in the case of Dawoodi Bhora Jamat (supra). 8. Further, we have examined the Pune Bench decision in the case of Anjuman-E-Najmi Dawoodi Bohra Jamat (supra) and find para 4 is relevant in this regard wherein the relevant portions from the cited judgment of the Supreme Court in the case of Dawoodi Bhora Jamat (supra) are extracted. 4. We find that the case of CIT vs. Dawoodi Bohra Jamat (2014) 364 ITR 31 (Supreme Court), the Hon‟ble Supreme Court has held as under: (i) that determination of the nature of the trust as wholly religious or wholly charitable or both charitable and religious under the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ucation under the provisions of section 2(15) of the Act. Similarly, assistance by the assessee-trust to the needy and poor for religious activities would not divest the trust of its altruist character. Therefore, the objects of the trust exhibited the dual tenor of religious and charitable purposes and activities. Section 11 of the Act allowed such trust with composite objects to claim exemption from tax as a religious and charitable trust subject to the provisions of section 13. The Activities of the trust under such objects would, therefore, be entitled to exemption accordingly. In re : trustees of the tribune [1939] 7 ITR 415 (PC) and In re : SOUTH PLACE ETHICAL SOCIETY; BARRALET V. ATTORNEY GENERAL [1980] 3 All ER 918; [1980] 1 WLR 1565; 54 Tax Cas 446 applied. (iii) That the objects of the assessee-trust were based on religious tenets under the Quran accordirtg to the religious faith of Islam. The activities of the trust though both charitable and religious were not exclusively meant for a particular religious community. The objects did not channel the benefits to any community if not the Dawoodi Bohra community and thus, would not fall under the provisions of section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al tenor of religious and charitable purposes and activities. Section 11 of the Act allowed such trust with composite objects to claim exemption from tax as a religious and charitable trust subject to the provisions of section 13. The activities of the trust under such objects would, therefore, be entitled to exemption accordingly. 10. On perusal of the above, it is evident that the facts of the assessee‟s case are comparable to the case adjudicated by the Hon‟ble Supreme Court as well as the decision of the ITAT, Pune Bench (supra). Therefore, we find it is a fit case for granting registration u/s 12AA of the Act. Regarding the wrong spelling appearing on the PAN, we find prima facie the name of the assessee is printed wrongly on the PAN. We place our reliance more on the copy of the Pass-Port, copy of which is placed in the paper book of the assessee. Generally, the Pass-Port is issued‟ to the citizens after completion of due verification by the investigation authorities and therefore, it assumes significance. In our opinion, the pass-port is more credible document. The other details about the Date of Birth, Father name etc which are found comparable but fo ..... 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