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TMI Blog2003 (10) TMI 253X X X X Extracts X X X X X X X X Extracts X X X X ..... ation and thereby considering it as income of the trust. 1.2 the appellant submits that the donation was given with a specific direction to be credited to the corpus, therefore, the said donation was to be considered as a corpus donation only. 1.3 The appellant also submits that the corpus donation has been invested in approved investments and not spent on charitable activities as stated by the CIT(A). Ground No. 2: donation to Nathdwara trust--Rs. 1,75,000 2.1 the appellant submits that the learned CIT(A) has erred in holding that the donation to Nathdwara trust of Rs. 1,75,000 attracts the provision of s. 13(1)(c) and, therefore, the assessee is not entitled to exemption under s. 11 of the IT Act. 2.2 the appellant submits that the sa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng 2,700 gms. valuing Rs. 6,82,560) Letter of Executor Date: 23rd March, 1992 To, The Trustees of Smt. Shantaben Natvarlal Hargovandas Foundation, 109, V P Road, Bombay-400004 Re: Donation of Gold ornaments into the corpus of the trust Dear Sirs, It was the intention of the deceased Smt. Shantaben Natvarlal Shah as laid down in her will dt. 8th Nov., 1990, to donate her gold ornaments to the newly created charitable trust formed under the Public Trust Act. Accordingly, I hand over the following moveable articles of gold ornaments to your foundation trust, herewith: Chain/sanklas, Patla and bangles, Bajubands, Waist chain, Chandan hars, and Sundry items, viz., Chuda set, ring, chakta, challa, collar, etc. Total weight: Grams ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of material placed before us. We have already reproduced the relevant portion of will and the letter given by executor of the will. Reading both together, the intention of the donor as well as executor is clear that the donation is only towards corpus of the trust. The case law relied upon by the learned Authorised Representative of the assessee also support the case of assessee. Therefore, we hold that the donation was towards corpus of the trust and should be considered entitled to deduction under s. 11(1)(d). We direct accordingly. This ground is, therefore, allowed. 7. Apropos ground No. 2, donation made by the assessee to Nathdwara Trust of Rs. 1,75,000 has been held not entitled to exemption under s. 11 on the basis of application of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... one block on the first floor of Dahliwali Dharmashala. On the basis of agreement, the AO has disallowed the claim of the assessee. 9. After narrating the above-mentioned facts, the learned Authorised Representative of the assessee contended that the claim of the assessee has wrongly been disallowed. The donation was towards construction of block in Nathdwara Temple. The object of the donation was object of the trust and application of funds towards object of the trust. He further contended that it is only recommendation of the trustee of assessee-trust upon which accommodation could be granted by the authorities of Nathdwara Temple Board. It does not mean that assessee has derived any undue benefit. He further contended that donation was m ..... X X X X Extracts X X X X X X X X Extracts X X X X
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