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TMI Blog2016 (8) TMI 554X X X X Extracts X X X X X X X X Extracts X X X X ..... d”, the body of the order clearly says that the registration was granted only to the Fund and not to the Bar Council. The CBDT, however, after examining the application filed by the Bar Council of Tamil Nadu, found that the registration was granted with effect from 25.02.2011 on the basis of application dated 25.02.2011. Therefore, there is a confusion as to whether the Bar Council of Tamil Nadu and Advocates' Welfare Fund have filed any joint application for registration or the individual application filed by the respective statutory body was clubbed together by the Director of Income Tax (Exemptions) and passed a common order. These facts are not clear from the order of the lower authorities. Under the scheme of the Income-tax Act, each s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n all these appeals, I heard these appeals together and disposing of the same by this common order. 2. Shri R. Venkatesh, the Ld. representative for the assessee, submitted that the assessee-Bar Council of Tamil Nadu is a statutory regulatory body established under Advocates Act, 1961 to regulate the profession of legal practice in India. The assessee-Bar Council of Tamil Nadu has established a Welfare Fund for the benefit of practicing Advocates. According to the Ld. representative, Advocates' Welfare Fund is not a legal entity. In fact, it is a fund established by Bar Council of Tamil Nadu for the welfare of legal practitioners. However, both the authorities below treated the Advocates' Welfare Fund as a separate legal entity and assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... anted after satisfying himself about the fulfilment of conditions prescribed under the provisions of the Act. After the order of the Director of Income Tax (Exemptions), the matter has to be reexamined by the Assessing Officer. Therefore, the Ld. representative submitted that the matter may be remitted back to the file of the Assessing Officer for reconsideration. 4. On the contrary, Sh. P. Radhakrishnan, the Ld. Departmental Representative, submitted that though the assessee claims that Advocates' Welfare Fund established by Bar Council of Tamil Nadu, is not an independent legal entity, the registration was granted separately to the Advocates' Welfare Fund on the basis of application filed by the Fund itself on 25.02.2011. The Advocates' ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essing Officer. 6. I have considered the rival submissions on either side and perused the relevant material available on record. The order of the Director of Income Tax (Exemptions) dated 29.08.2011 clearly says "Bar Council of Tamil Nadu and its unit Advocates' Welfare Fund" in the preamble portion of the order. It is not in dispute that Bar Council of Tamil Nadu was established under the provisions of the Advocates Act, 1961. The Bar Council of Tamil Nadu constituted a fund called Advocates' Welfare Fund for the welfare of the practicing advocates. The assessee now claims before this Tribunal that the application for registration under Section 12AA of the Act was filed on 25.02.2011 and the Director of Income Tax (Exemptions) gra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ates Act, 1961 enables to constitute Bar Councils in the respective States. Section 4 of the Advocates Act, 1961 enables constitution of Bar Council of India. Section 5 of the Advocates Act, 1961 clearly says that every Bar Council established either under Section 3 or 4 of the Advocates Act, 1961, shall be a body corporate having perpetual succession and a common seal, with a power to acquire and hold property. Therefore, Bar Council of Tamil Nadu is a statutory body constituted under Section 3 of the Advocates Act, 1961 as claimed by the assessee. 8. Section 3 of the Advocates' Welfare Fund Act, 2001 enables the respective State Governments to constitute a fund called "Advocates' Welfare Fund". Section 4 of the Advocates' Wel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g exemption under Section 11 of the Act for Advocates' Welfare Fund. The Advocates' Welfare Fund and the Bar Council of Tamil Nadu, shall obtain the necessary approval / registration under Section 12AA of the Act, separately. 9. In the case before us, even though the preamble of order of the Director of Income Tax (Exemptions) dated 29.08.2011 says "Bar Council of Tamil Nadu and its unit Advocates' Welfare Fund", the body of the order clearly says that the registration was granted only to the Fund and not to the Bar Council. The CBDT, however, after examining the application filed by the Bar Council of Tamil Nadu, found that the registration was granted with effect from 25.02.2011 on the basis of application dated 25.02.2011. T ..... X X X X Extracts X X X X X X X X Extracts X X X X
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