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TMI Blog2020 (10) TMI 1123X X X X Extracts X X X X X X X X Extracts X X X X ..... n the case of M/s. Ananda Social and Educational Trust [ 2020 (2) TMI 1293 - SUPREME COURT] held that merely because the trust has not spent any amount of its income for charitable activities and the fact that the trust has not spent any amount of income for charitable purpose does not amount to carrying on the activities contrary to its objects. In the light of legal position discussed supra, the order of the ld. Commissioner of Income Tax (Exemption) cannot be sustained in the eyes of law. The submission of the ld. CIT-DR the matter be remanded to Commissioner of Income Tax (Exemption) for fresh examination cannot be acceded to for the reason that it amounts to ordering fresh enquiry which is not permissible under the law - we direct ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nters, medical colleges, technical colleges, and other institutions for imparting education and training of students. 2) Establishment and support of Professorship, Fellowship, Lectureships, Scholarships, Loan Scholarships, Free Ships and Prizes at any schools, colleges or other educational institutions in India. 3) Establishment maintenance and/or construction of hostels and / or boarding houses and grant of free boarding and lodging to poor, deserving students and other persons upon such terms and for such period in each case as the TRUSTEES may think fit. 4) To take over the management and administration of educational and cultural institutions of the aforesaid nature and orphanages already established with all their asset ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aggrieved by the order of ld. Commissioner of Income Tax (Exemption), the appellant is in appeal before us in the present appeal. 6. The ld. AR submitted that the ld. Commissioner of Income Tax (Exemption) had drawn the adverse inference against the assessee without giving a proper opportunity of being heard to the appellant society. She further submitted that the reasoning of the ld. Commissioner of Income Tax (Exemption) is no longer tenable under the law in the light of the judgment of the Hon ble Supreme Court in the case of Ananda Social and Educational Trust vs. CIT, 272 Taxman 7. Thus, it was submitted that the impugned order be quashed and the ld. Commissioner of Income Tax (Exemption) may be directed to grant the registration u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h trust or institution whose objects and activities are genuine. In other words, the Commissioner is bound to satisfy himself that the object of the Trust are genuine and that its activities are in furtherance of the objects of the Trust, that is equally genuine. Since section 12AA pertains to the registration of the Trust and not to assess of what a trust has actually done, we are of the view that the term activities in the provision includes proposed activities . That is to say, a Commissioner is bound to consider whether the objects of the Trust are genuinely charitable in nature and whether the activities which the Trust proposed to carry on are genuine in the sense that they are in line with the objects of the Trust. In contras ..... X X X X Extracts X X X X X X X X Extracts X X X X
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