Registration U/s. 12A/ 12AA can be denied to Trust not applying its income for Charity

Norka Roots Vs. CIT (Kerala High Court) As per Section 12AA of the Income Tax Act, the Commissioner is empowered to call for documents or information from the assessee, which are necessary to satisfy the authority about the genuineness of the activities of the institution. The Division Bench of this Court had also directed that such verification is to be done to ascertain whether actually the funds generated as income were expended for charitable purposes. It was incumbent upon the appellant to show that it had utilized its income, in advancement of the objectives as stated in the Memorandum o...