Status of Charitable Trust’s not get affected for making reasonable payments to related party

CIT Vs IILM Foundation (Delhi High Court) Conclusion: Charitable Trust’s status could not be taken away citing violation of Section 13 merely because it made reasonable payment for services rendered by a related party. If the amount paid for services was such as was reasonably payable for such service, the same could not be construed as applied for the benefit of a prohibited person notwithstanding that it was paid to such a person. Held: Assessee was predominantly engaged in activities of imparting education and also involving the certain educational institutions. Assessee had filed its...