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TMI Blog2014 (5) TMI 1193X X X X Extracts X X X X X X X X Extracts X X X X ..... f granting approval for exemption u/s 80G, object of the trust is required to be examined and application of funds can be examined by Assessing Officer at the time of framing assessment. - Decided in favour of assessee X X X X Extracts X X X X X X X X Extracts X X X X ..... of hearing, the A.R. of the assessee trust has filed written submission. However, no documentary evidences such as books of accounts, donation receipts books, ledger account of expenses ete. have been produced f verification. Further, in respect of non-utilization of 85% of income towards the objects of the trust, the assessee trust has submitted that the trust wants to build the "Annkshetra" at Visavadar, so the trust accumulated money a invested/deposited in Bank. The assessee trust further submitted that the income, expenses and accumulated amounts and small in nature. However, in future, the trust will take care of the provisions of the Act. Thus, it is seen that the assessee trust has not given any convincing reasons for non-utilisati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1961 is hereby rejected." Aggrieved with the order of ld Commissioner of Income-tax, Rajkot-III, Rajkot, the assessee-trust is now in appeal before this Tribunal, on the following grounds:- "1. The Ld. Commissioner of Income-tax has erred in law and facts in rejecting to grant approval u/s 80G(5) of the Income-tax Act, 1961. The trust deserves approval u/s 80G(5). 2. The Ld. C.I.T. has erred in coming to the conclusion that appellant is not fulfilling the condition for approval of the provisions of section 11(2) of the IT Act. The trust deserves approval u/s. 80G(5). 3. The ld. C.I.T. has erred in coming to the conclusion that appellant has violated the conditions laid down in section 80G(5) and is not fulfilling the condition for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ll grounds of appeal before the actual hearing takes place." 3. At the time of hearing, on behalf of assessee-trust, Shri D R Adhia, Authorized Representative, appeared and contended that at the time of granting approval for exemption u/s 80G, only object of the trust is required to be examined and application of funds can be examined by Assessing Officer at the time framing assessment. In support of this, the Authorized Representative for the assessee-trust relied upon the judgment of the Hon'ble Punjab & Haryana High Court in its judgment delivered on 02.05.2013 in the case of CIT v. O.P. Jindal Global University, reported in (2013) 38 taxmann.com 366 (P&H). The ld. Authorized Representative of the assessee-trust also relied upon the de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt in the case of O.P. Jindal Global University (supra) is as under:- "13. In ITANo.701 of 2010 titled CIT v. Surya Educational & Charitable Trust [2011] 203 Taxman 53/15 taxmann.com 123 (Punj & Har.) it has been held by this court that at the stage of registration under Section 12AA of the Act, the extent and nature of activities are not required to be examined. That question is required to be examined in assessment proceedings. The Court observed as under: "Therefore, the object of Section 12AA of the Act, is to examine the genuineness of the objects of the Trust, but not the income of the Trust for charitable or religious purposes. The stage for application of income is yet to arrive i.e. when such Trust or Institution files i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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