Assessee trust filed an application for registration. AO rejected the application on the ground that the object to help of literary persons of different aptitudes or classes, plays written in different languages could be converted in to dramas or episodes or T.V. Plays is commercial in nature. Tribunal allowed the application of the asessee. On appeal by the revenue the High Court, affirmed the order of the Tribunal.
CIT ( E) v. Kanakia Art Foundation. (2019) 265 Taxman 281 (Bom.)(HC) (Editorial : Order in Kanakia Art Foundation v. Dy.CIT (2015) 59 taxmann.com 468/ 39 ITR 53 (Mum.)(Trib.) is affirmed)
S. 12AA : Procedure for registration–Trust or institution-Object to help of literary persons of different aptitudes or classes, plays written in different languages could be converted in to dramas or episodes or T.V. Plays–Cannot be regarded as commercial in nature –Denial of registration is not justified. [S. 2, 15, 12A.)