When you apply for 80g you shall check yourself for the fitness of 80g approval under the following factors.
The ld counsel of the revenue submitted that under the scheme of the Act and in particular in the provision of Section 12AA, the Department is to satisfy itself not only with regard to genuineness of the trust but also with regard to genuineness of the activities of the trust. He submitted that in this case, the assessee could not file any evidence to prove that the trust was created in the year 1159 AD and was doing charitable activities.
He further submitted that the onus was on the assessee to file evidence that the objects exist in the year 1159 AD and amendments to the objects of the trust were made by the trust with the resolution passed from time to time and credible evidence has to be filed by the assessee trust to prove the same. He submitted that a plain reading of the objects of the trust as detailed in the declaration of the trust dated 29th March, 2011 makes it clear that these could not be the aims and objects of the trust in the year 1159 AD. He submitted that the trust is stated to be created in the year 1159 AD in China and there is no evidence brought on record by the assessee to prove that they have passed a resolution that they have settled in India or are “in exile” in India
He further submitted that the copy of form No.10A, i.e., application for registration u/s 12AA shows that the address of the assessee trust is shown in a chamber in Tis Hazari Court in Delhi, although there was no activity undertaken by the assessee trust in Delhi. He submitted that the 17thKarmapa, the head of the assessee trust has come to India in the year 1974 but has applied for registration in the year 2011 and there was no valid reason for such inordinate delay in applying for registration u/s 12AA.
He submitted that there was a violation of foreign exchange laws by the assessee trust and the assessee has spent Rs. 30.28 lakhs under the head ‘legal expenses’ and violation of the law was clearly against the public policy. He submitted that the 17th Karmapa, as head of the assessee trust, was taking food and clothes and meeting his personal expenses from the resources of the assessee trust and which is in violation of the provision of Section 13. He submitted that the assessee should prove that from where the 17th Karmapa has spent for his personal requirements. He relied on the order of the learned DIT (Exemptions).
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