Life Shines Educational & Charitable Trust v. Assistant Commissioner of Income-tax*

IT: Where assessee-trust was only running a pre-school by collecting fees for imparting education to children, assessee's main objects were covered by charitable purposes 'education' under section 2(15) and it was entitled for registration under section 12AA
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[2015] 60 taxmann.com 155 (Chennai - Trib.)
IN THE ITAT CHENNAI BENCH 'A'
Life Shines Educational & Charitable Trust
v.
Assistant Commissioner of Income-tax*
A.MOHAN ALANKAMONY, ACCOUNTANT MEMBER
AND S.S. GODARA, JUDICIAL MEMBER
IT APPEAL NOS. 2818 AND 2819 (MDS.) OF 2014
MARCH  5, 2015
Section 2(15), read with sections 12AA and 80G, of the Income-tax Act, 1961 - Charitable purpose (Education) - Commissioner on perusal of details furnished by assessee trust found that trust was only running a pre-school for pre-KG, LKG and UKG classes by collecting fees for imparting education to children and it did not carry out any reasonable charitable activity ever since its creation - He rejected application for registration under section 12AA holding that assessee had not complied requirements of section 12AA - He also refused to grant registration under section 80G - Whether assessee's main objects were covered by charitable purposes 'education' under section 2(15) - Held, yes - Whether, therefore, assessee was entitled for registration under section 12AA - Held, yes [Para 4] [In favour of assessee/Matter remanded]