Assessee is a\u00a0 registered under section 12A and had derived income by way of contributions from the head office, membership fee, income from publication of Indian Foundry journal, other grants and donations etc. besides receiving interest on fixed deposits.\u00a0 It had claimed exemption under section 11. Assessing Officer, rejected claim of exemption on ground that assessee-society was advancing object of general public utility and gross receipt of assessee from such activity was more than Rs. 10 lakhs in previous year and, therefore, activities of assessee were not for charitable purpose. CIT(A) affirmed the order of the Assessing Officer. On appeal the\u00a0 Tribunal held that on similar issue in case of Indian Chamber of Commerce v. Dy. CIT [IT Appeal Nos. 933 & 934 (Kol.) of 2023, dated 22-12-2023] had held that if primary purpose of an institution was advancement of objects of general public utility, it would remain charitable even if an incidental or ancillary activity or purpose for achieving main purpose, is\u00a0 profitable in nature. Since profit derived from services rendered as public utility service was very meagre, Assessing Officer is\u00a0 directed to allow exemption under section 11. (AY. 2014-15)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 11 : Property held for charitable purposes-Gross receipt is more than Rs. 10 lakhs-Primary purpose of an institution is advancement of objects of general public utility-Charitable trust it would remain charitable even if an incidental or ancillary activity or purpose for achieving main purpose, is profitable in nature.[S. 2(15), 12A] <\/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-48660","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-cEQ","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/48660","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=48660"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/48660\/revisions"}],"predecessor-version":[{"id":48661,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/48660\/revisions\/48661"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=48660"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=48660"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=48660"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}