The assessee was a public charitable trust registered under S. 12AA\u00a0of\u00a0 the Act . The assessee imported and distributed wattle extracts (which constituted one of the cleaning agents for processing raw hides). The AO denied the exemption and also recommended for cancellation of the registration of the assessee and assessed the assessee as an association of persons. The CIT (A) allowed the appeals filed by the assessee. The Tribunal held that the trading activities engaged in by the assessee were not mentioned in its objectives, that its activities of import of raw material from abroad and distribution of such raw material amounted to commercial transaction and a trading activity which generated profits and denied the exemption under S. \u00a011\u00a0to the assessee. On appeal the Court held that \u00a0the denial of benefits of tax exemption under S. \u00a011\u00a0on the ground that the activities of import and distribution of wattle extracts was commercial in nature within the scope of the provisos to S. \u00a02(15)\u00a0though the assessee was registered under S. \u00a012A(a)\u00a0required reconsideration and examination in greater depth by the Tribunal. The findings of the Tribunal were insufficient to reverse the order of the CIT(A ). It was required to take note of the legal position which prevailed at the relevant time. The order passed by the Tribunal was set aside and the matter was to be remanded to it for fresh consideration. Matter remanded.( AY.2009-10 to 2011-12)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 12AA : Procedure for registration \u2013Trust or institution- Activity of import and distribution of raw material- Matter remanded to the Appellate Tribunal [ S. 2(15) 11,254(1) ]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-12603","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-3hh","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12603","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=12603"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12603\/revisions"}],"predecessor-version":[{"id":12604,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12603\/revisions\/12604"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=12603"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=12603"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=12603"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}