Commissioner Of Income Tax Exemptions vs International Health Care Education And Research Institute - S 12AA Income Tax Act - Exemption For Trusts

Income Tax Act 1961 - Section 12AA - The very purpose for any assessee to seek registration under Section 12AA of the Act is to claim exemption under Sections 10 and 11 respectively of the Act, as the case may be. Therefore, before seeking registration, it is essential that the Trust should adduce cogent material to the satisfaction of the Commissioner that the activities are genuinely charitable in nature- mere registration under Section 12-AA automatically does not entitle any charitable trust to claim exemption under Sections 10 and 11 respectively of the Act, 1961. When a return is filed by any trust claiming exemption it is for the assessing officer to look into all the materials and satisfy itself whether the exemption has been claimed genuinely or not. If the assessing officer is not convinced it is always open for him to decline grant of exemption. [Refused plea to refer correctness of Ananda Social and Educational Trust vs. Commissioner of Income Tax [(2020) 17 SCC 254] to larger bench]