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TMI Blog2020 (2) TMI 1388X X X X Extracts X X X X X X X X Extracts X X X X ..... rganisation to demonstrate actual carrying of its activities. This Tribunal placed reliance on decisi in case of DIT (E) v. Meenakshi Amma Endowment Trust, [ 2010 (11) TMI 853 - KARNATAKA HIGH COURT] and came to the conclusion that for want of proof of activities of a trust, when trust was yet to commence its activities, an application for grant of registration u/s. 12A cannot be rejected. The Tribunal also placed reliance on decision of ITAT Jaipur Bench in the case of Anand incubation Centre [ 2017 (11) TMI 77 - ITAT JAIPUR] wherein on identical facts, approval u/s. 80G was directed to be granted - we hereby direct Ld. CIT (E) to grant registration to assessee trust u/s 80G - Decided in favour of assessee. - ITA 29/Bang/2020 - - - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... carrying of its activities. This Tribunal placed reliance on decision of Hon ble Karnataka High Court in case of DIT (E) v. Meenakshi Amma Endowment Trust, 354 ITR 219 (Kar) and came to the conclusion that for want of proof of activities of a trust, when trust was yet to commence its activities, an application for grant of registration u/s. 12A cannot be rejected. The Tribunal also placed reliance on decision of ITAT Jaipur Bench in the case of Anand incubation Centre v. CIT(E), 86 taxmann.com 250 (Jaipur Trib) wherein on identical facts, approval u/s. 80 G was directed to be granted. Following was relevant observations of the Tribunal: 6. We have heard the rival contentions and perused the material available on record. It is noted tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee trust to demonstrate the actual carrying on of its activities at the time of moving the application. Therefore, the question of genuineness of such activities and examination thereof by the learned CIT(E) is premature to our mind at the time of grant of approval. In our view, the object of grant of recognition under section 80G of the Act is to promote charitable activities and to mobilize resources which can be generated by the assessee trust from the potential donors as well as public at large. Therefore, denial of recognition under section 80G merely for the fact that the activities have not been carried out by the assessee trust and thus cannot be verified is not appropriate. Further, the Ld. CIT(E) has not spelt out nonfulfill ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... jects of the trust have to be examined and the authorities cannot insist on proof of activities of the trust as trust was yet to commence its activities. ITAT, Bangalore Bench in the case of All People Charitable Trust Vs. CIT(E) in ITA Nos. 1216 and 1217/Bang/2015 order dated 30/12/2015 has applied the principles laid down in the case of Meenakshi Amma Endowment Trust (Supra) in the context of grant of registration u/s 80G of the Act. In the present case the trust was formed on 14/12/2016 and application for grant of registration and approval u/s 12A and 80G respectively was made on 16/5/2017. Therefore, the CIT(E) was not justified in basing his conclusion for rejecting approval u/s.80G of the Act on the ground of absence of activities of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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