Embezzlement Loss in Charitable Trust’s Activities allowable

Gurudwara Godri Sahib Baba Farid Society Vs DCIT (ITAT Chandigarh) ITAT Chandigarh held that loss incurred on account of embezzlement during the course of day to day carrying out of charitable activities by the trust is revenue loss and duly allowable. Facts- The Assessee is a Society registered under the Societies Registration Act, 1860. The Society is also registered u/s. 12AA of the Income Tax Act, 1961. As per the Memorandum of the Society, the main object of the society is to spread and propagate the religious and spiritual teachings of ‘Sant Baba Farid’. The Assessee, herein, challen...