Commissioner of Income Tax vs Sewa Bharti Haryana Pradesh

M.M. Kumar, J.—The Revenue has approached this Court by filing the instant appeal u/s 260A of the Income Tax Act, 1961 (for brevity "the Act") challenging order'' dated April 8, 2009 (A.2) passed by the Income Tax Appellate Tribunal Delhi Bench "G", Delhi (for brevity "the Tribunal") in I. T. A. No. 4272(Del) 2007 granting renewal of exemption u/s 80G of the Act up to March 31, 2007. The Tribunal has examined the different activities of the assessee-respondent showing imparting of education, running of Mahila Prashikshana Kendra (female education centre) etc. The other activities include health care and social welfare. There is a categorical finding that no payment was made by the assessee-respondent to any of its members on account of salary or wages and that the assessee is purely a social organisation carrying out social activities. The assessee has been found to be running 295 centers which are devoted to various activities as is evident from the following table:

Bal Sanskar Kendra 89 2. Mahila Sewing Centre 92 3. Balwari and Anganwari 3 4. Coaching Centre 10 5. Jhola Pustkalaya 16 6. Watchnalya 2 7. Primary Std. School 11 8. Adult Education Center 1 9. Day Care Centre 3 10. Dispensary 12 11. Free Milk Distributor Centre 3 12. Mahila Satsang Kendra 31 13. Medical Campus at different places 22 ------ 295 ------

The Tribunal has also found that the assessee-respondent has filed certificate of registration, memorandum of association, its rules and regulations, initial certificate granting exemption u/s 80G of the Act, the renewals of exemption granted earlier, notes on activities annexed with Form 10G, consolidated audited balance-sheet, receipts of payments etc. It has also filed income and expenditure account for the year ending March 31, 2001 and consolidated audited report for the years ending March 31, 2002, March 31, 2003, March 31, 2004, March 31, 2005 and March 31, 2006 along with computation of income for the assessment years 2004-05, 2005-06 and 2006-07. It has also filed notes on activities for the financial year 2003-04 and number of other things. The Tribunal after noticing all the activities and the documents, had concluded that the Commissioner of Income Tax was not justified in declining the renewal granted to the asses-see u/s 80G(5)(vi) of the Act and accordingly the Tribunal found that the assessee-respondent was entitled for continuation of entitlement u/s 80G(5)(vi) of the Act.

We have heard learned Counsel for the Revenue at a considerable length and find that no violation of any provision has been pointed out warranting admission of the appeal. The activities of the respondent-society are devoted to charity and social welfare activities. Even in the earlier years similar activities have been accepted by the Revenue. Therefore, the Tribunal has rightly continued the benefits to the assessee-respondent u/s 80G(5)(vi) of the Act. The appeal is wholly without merit and the same is accordingly dismissed.