Trust Registration under section 12AA cannot be denied for Surplus Profit

CIT Vs D.N Memorial Trust (Jammu & Kashmir And Ladakh High Court) The case of CIT vs. D.N Memorial Trust was brought before the Jammu & Kashmir and Ladakh High Court. The trust had applied for registration under Section 12AA(1)(b) of the Income Tax Act, 1961, seeking tax benefits as a charitable institution. However, the Commissioner of Income Tax, J&K, Jammu, refused the registration, citing that the trust had generated surplus (profit) from its total receipts, and thus, did not satisfy the requirements of Section 12AA. The trust filed an appeal with the Income Tax Appellate Tribu...