Giving awards, felicitating eminent people and organizing public debates is not charitable activity

Sri Chukkapalli Pitchaiah Foundation Vs. CIT(Exemptions) (ITAT Visakhapatnam)

The Ld. A.R. explained that the Chukkapalli Foundation is engaged in the activities of organization seminars and giving awards to the eminent personalities to honor them, and giving cash awards to the persons who made positive contribution to the society and organizing events or lectures on various subjects. In support the Ld. A.R. also filed two programmes organized by the foundation on 8.8.2016 and 7.8.2015 giving award to Prof. K.N. Phanikar and Prof. C.N. Rao. But giving awards and felicitating eminent people and organizing the public debates on various subjects cannot be held to be charitable activity for the purpose of Income Tax Act. The sole activity of organizing meetings and giving awards to eminent people do not fit into the definition of charitable purpose as per the Income Tax Act. The Ld. A.R. also failed to establish and demonstrate that the objects and the activity of the foundation is covered by the definition of section 2(15) of the Act and the A.R. did not place any judicial decision supporting the assessee’s activity as charitable purpose