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TMI Blog2015 (10) TMI 2715X X X X Extracts X X X X X X X X Extracts X X X X ..... r therefore, requires detailed examination in terms of main objects of Urban Improvement Trust, the relevant governing legislation / Notification under which Urban Improvement Trust was established as well as activities of the trust in order to decide whether trust is eligible for registration u/s 12AA of the Act. Thus, in the light of the above, the matter is set aside to the file of the ld. CIT to decide afresh in light of Board Circular No. 11 of 2008 dated 19-12-2008 by providing reasonable opportunity of being heard to the assessee. The assessee is also directed to cooperate in the proceedings. Thus, the appeal of the assessee is allowed for statistical purposes. - ITA No. 30/JP/2014 - - - Dated:- 30-10-2015 - R.P. TOLANI SHRI VIK ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are covered in the definition of Section 2(15) of the I.T. Act, 1961, which is necessary requirement for registration u/s 12AA of the I.T. Act. The ld. CIT on perusal of the copy of accounts observed that although the Trust is engaged in advancement of object of general public utility, it cannot be said to be a charitable purpose, since it involves activities in the nature of commerce or business for which fees and other consideration are charged, in view of the Ist proviso of Section 2(15) of the I.T. Act, 1961. The ld. CIT considering all the above facts of the case observed that the trust has not been able to bring any evidence on record to establish that its activities were covered by the definition charitable purpose . Accordingly, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... If such assessee is engaged in any activity in the nature of trade, commerce or business or renders any service in relation to trade, commerce or business, it would not be entitled to claim that its object is charitable purpose. In such a case, the object of general public utility will be only a mask or a device to hide the true purpose which is trade, commerce or business or the rendering of any service in relation to trade, commerce or business. Each case would, therefore, be decided on its own facts and no generalization is possible. Assessee, who claim that their object is charitable purpose within the meaning of Section 2(15), would be well advised to eschew anything which is in the nature of trade, commerce or business or the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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