1. Guidelines of Supreme Court in American Hotel and lodging 301 ITR 86 to be followed.
2. No denial to be made where compliance depends upon events that have not taken place till date of application.
3. Institution granted registration both under S. 12AA and 10(23C)(vi), no automatic withdrawal of approval where 12AA registration cancelled unless conditions under 10(23C) are violated.
4. No withdrawal of approval for accumulation of profit be cause the third Proviso to the said clause clearly provides that accumulation of income is permissible subject to the manner prescribed therein provided such accumulation is to be applied "wholly and exclusively to the objects for which it is established.
5.Collection of small and reasonable amounts under different heads of fee, which are essentially in the nature of fee connected with imparting education and do not violate any Central or State regulation does not, in general, represent a profit making activity E.g. application fee, examination fee, fee for issuing transfer certificate, subscription fee for library.
6. Extra ordinary powers of managing trustees to appoint other trustee and their heirs also shall not result in denial of approval
2. No denial to be made where compliance depends upon events that have not taken place till date of application.
3. Institution granted registration both under S. 12AA and 10(23C)(vi), no automatic withdrawal of approval where 12AA registration cancelled unless conditions under 10(23C) are violated.
4. No withdrawal of approval for accumulation of profit be cause the third Proviso to the said clause clearly provides that accumulation of income is permissible subject to the manner prescribed therein provided such accumulation is to be applied "wholly and exclusively to the objects for which it is established.
5.Collection of small and reasonable amounts under different heads of fee, which are essentially in the nature of fee connected with imparting education and do not violate any Central or State regulation does not, in general, represent a profit making activity E.g. application fee, examination fee, fee for issuing transfer certificate, subscription fee for library.
6. Extra ordinary powers of managing trustees to appoint other trustee and their heirs also shall not result in denial of approval
No comments:
Post a Comment