Vague Purpose in Form 10? ITAT Gives Trust a Second Chance

Leapforword Vs ITO (ITAT Mumbai) Vague Purpose in Form 10? ITAT Gives Trust a Second Chance In this case, the assessee trust claimed accumulation of ₹25 lakh under Section 11(2), but in Form 10 the purpose was merely stated as “Social”, without any specific clarity. The AO rejected the claim on the ground that the purpose of accumulation must be precise and not vague. This view was upheld by the CIT(A). Before the ITAT, the assessee argued that the funds were actually utilized for its charitable objects in subsequent years and sought an opportunity to substantiate the same. However, the ...