Corpus contributions cannot be grounds to deny section 12AA registration: ITAT Delhi

Advertisement Shree Jagat Guru Vs CIT(E) (ITAT Delhi) The assessee, Shree Jagat Guru, appealed against the denial of registration under section 12AA(1)(B)(ii) of the Income Tax Act, 1961 by the Commissioner of Income Tax (Exemption), Chandigarh. The CIT(Exemption) had rejected the application because the assessee had shown corpus donations, government grants, and building funds in its balance sheet for FY 2015-16, 2017-18, and 2018-19, rather than treating them as income in the Income & Expenditure account. The CIT noted that corpus donations are exempt only under section 11(1)(d) if th...