Commercial Activities by Trust registered u/s 12AB

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..... Dear sir/madam A trust registered u/s 12AB running an ayurvedic college and a teaching hospital under it. Teaching hospital gives services and also sells drugs to inpatients. Suppose Trust plans to opens a medical shop within the premises of college and to extend sale of drugs and other pharmaceutical products to outsiders. can a trust do that?? - Reply By Padmanathan Kollengode - T .....

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..... he Reply = What are the main objects of the trust? - Reply By Padmanathan Kollengode - The Reply = Pls note that the restriction on commercial activity being charitable purpose is only for the object being the advancement of any other object of general public utility . - Reply By Mratunjaya Vajramatti - The Reply = Main objective of Trust is Providing Education. It has 75 educational inst .....

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..... itutions. - Reply By Padmanathan Kollengode - The Reply = If the main objective of the trust is imparting education, there is no restriction on commercial activity for falling under charitable purpose . However, pls note the ratio laid down by Hon'ble SC in M/S NEW NOBLE EDUCATIONAL SOCIETY VERSUS THE CHIEF COMMISSIONER OF INCOME TAX 1 AND ANR. 2022 (10) TMI 855 - SUPREME COURT is also .....

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..... relevant. - Reply By Manoj Gupta - The Reply = A lot to be checked before deciding the query, in particular, the objects clause. - Commercial Activities by Trust registered u/s 12AB - Query Started By: - Mratunjaya Vajramatti Dated:- 30-1-2024 Last Replied Date:- 5-2-2024 Income Tax - Got 5 Replies - Income Tax - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion .....

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..... Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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