No Breach of 5% Religious Expenditure – 80G Approval Cannot Be Denied

Jay Bhawani Mandhani Charitable Trust Vs CIT (Exemption) (ITAT Surat) The Income Tax Appellate Tribunal (ITAT) Surat bench has overturned an order by the Commissioner of Income-tax (Exemption), Ahmedabad, granting Jay Bhawani Mandhani Charitable Trust approval under Section 80G(5)(iii) of the Income-tax Act. The CIT(E) had initially rejected the trust’s application, citing that its objects were religious in nature and thus violated the conditions for 80G approval. The dispute centered on Clause 4(13) of the trust deed. The CIT(E) contended that this clause, which mentioned “buildin...