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TMI Blog2017 (12) TMI 791X X X X Extracts X X X X X X X X Extracts X X X X ..... ciation Vs. DCIT(Exemptions) & others reported in [2013 (12) TMI 833 - MADRAS HIGH COURT] is applicable to the issue on hand. In our opinion, the Respondent having exercising powers u/s 12AA of the Act has to satisfy that the activities of such trust or institution are genuine or not being carried out in accordance with the objects of the trust or institution and the Respondent is empowered to examine all the details of the trust or institution which has got registration u/s 12A in terms of exercising its power under sub-Section 3 of Section 12AA of the Act. We find no adverse remark made by the Respondent regarding the activities of the assessee are not in accordance with the objects and its activies are not genuine. Therefore, in our ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... itution in Nepal in terms of Clause 4(A) of the Trust Deed. Further, it was contended that Shri R.S. Saraf who is the President of Managing Committee of MIS is not the beneficiary and he is not entitled for any profit from MIS . The section 11 of the Act shall not apply, if any part of income or any property of the Trust is applied directly or indirectly for the benefit of any concern in which Trustee is not entitled to less than 25% of the profit of such concern and pleaded no violation section 13(1) of the Act. The assessee also filed 1 .copies of Trust Deed, Certificate u/s 12A and 80G of Chatral Jiwandan Trust, 2 .donation received and paid in Chatral Jiwandan Trust, 3. balance sheet and income expenditure of Chatral Jiwandan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al and innovative means and supporting the same placed on record trust deed dt:17-08-1995 and magazines MIS for years 2012, 2013, 2014 and 2015. The ld. AR placed reliance on the decision of Hon ble High Court of Madras in the case of M/s Tamil Nadu Cricket Association Vs. DCIT(Exemptions) others reported in 360 ITR 633 (Mad) and argued that the Respondent has no power to cancel the registration. The Respondent has empowered only to examine whether the assessee conducting its activities for charitable purposes in accordance with the objects or the activities of the assessee were genuine or not. The ld. AR submits that the Respondent is wrong and his jurisdiction in cancelling the registration granted u/s 12A without making any referen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ication of charity is to be applied outside India, there must be an approval from CBDT by general or special order. It is observed from the submissions made by the assessee through a letter dated 25.04.2016 contending that there is no bar in the trust deed of the assessee to donate funds outside India and Shri R.S. Saraf, the President of managing committee of MIS , is not the beneficiary and is not entitled to profit in MIS situated in Nepal. It was contended that section 11 does not apply in a situation if the trustee is entitled not less than 25% of profit of the said concern i.e. MIS of Nepal. 9. Therefore, a question arises before us, whether the said action of Assessee donating the funds out of India violating provisio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... BCCI earns revenues by way of sponsorships and media rights as well as franchise revenues for the Indian Premier Leagues for short IPL hereafter . The said BCCI distributes 70% of the revenues to member cricket associations, thereby, the assessee therein the Tamilnadu Cricket Association received revenue from BCCI. The CIT(E) opined that dominant activities are in the nature of trade, commerce and business and by invoking section 12AA of the Act read with section 2(15) of the Act and held the said receipt in the hands of Tamilnadu Cricket Association involved a commercial trading activity, accordingly, registration was cancelled u/s 12AA(3) of the Act. The jurisdictional Tribunal upheld the cancellation order of the CIT(E). The Hon ble Hi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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