Allowing the appeal of the assessee the Tribunal held that ; Advance of loan to another trust where the common trustees had no substantial interest and advance not being investment there is no violation , hence exemption cannot be denied and registration cannot be refused . ( AY.2007-08)
Puran Chand Dharmarth Trust. v. ITO (2018) 170 ITD 687/ 168 DTR 1 / 194 TTJ 643/ 64 ITR 50 (SN)(Delhi) (Trib.)
S. 11 : Property held for charitable purposes – Advance of loan to another trust where the common trustees had no substantial interest and advance not being investment there is no violation hence exemption cannot be denied and registration cannot be refused .[ S.10(23C)(vi),13(1)(d) ]