Escorts Skill Development, Faridabad V. CIT (Exemptions), Chandigarh

ITA 527/DEL/2017

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 7299 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 2 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-04-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 31-01-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NIDHI SRIVASTAVA
• Assessee Lawyers: R M MEHTA
• Keywords: Gift; Charitable institution; Set aside
• Section: 80G; 12A; 12AA; 12

Judgement Text

N THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH B : NEW DELHI) BEFORE SHRI R.K. PANDA, ACCOUNTANT MEMBER AND SHRI KULDIP SINGH, JUDICIAL MEMBER ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 ESCORTS SKILL DEVELOPMENT, VS. CIT (EXEMPTIONS), 15/5, MATHURA ROAD, CHANDIGARH. FARIDABAD. (PAN : AADCE8404A) (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI R.M. MEHTA, AR REVENUE BY : SMT. NIDHI SRIVASTAVA, CIT DR DATE OF HEARING : 24.04.2019 DATE OF ORDER : 26.04.2019 O R D E R PER KULDIP SINGH, JUDICIAL MEMBER : SINCE COMMON QUESTIONS OF FACTS AND LAW HAVE BEEN R AISED IN BOTH THE AFORESAID APPEALS, THE SAME ARE BEING D ISPOSED OFF BY WAY OF COMPOSITE ORDER TO AVOID REPETITION OF DISCU SSION. 2. THE APPELLANT, ESCORTS SKILL DEVELOPMENT (HEREIN AFTER REFERRED TO AS THE ASSESSEE/APPLICANT) BY FILING THE PRESENT APPEAL SOUGHT TO SET ASIDE THE IMPUGNED ORDERS BOTH DATED 29.12.2016 ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 2 PASSED BY THE COMMISSIONER OF INCOME-TAX (EXEMPTION S), CHANDIGARH ON THE GROUNDS INTER ALIA THAT :- ITA NO.527/DEL/2017 1. THAT THE LEARNED CIT (EXEMPTIONS) ERRED IN REJEC TING THE APPLICATION FILED U/S 80G(5)(VI) OF THE INCOME-TAX ACT, 1961 CONSEQUENT TO HIS DECLINING TO GRANT REGISTRATION U /S 12A OF THE INCOME-TAX ACT TO THE APPELLANT TRUST. 2. THAT THE LEARNED CIT (EXEMPTIONS) ERRED IN REJEC TING THE APPLICATION U/S 80G WITHOUT LOOKING AT THE MERITS O F THE MATTER AND MERELY REJECTING THE APPLICATION ON THE GROUND THAT THE APPLICATION FOR REGISTRATION U/S 12A HAS BEEN REJEC TED. ITA NO.528/DEL/2017 1. THAT THE LEARNED CIT(EXEMPTIONS) ERRED IN REJECT ING THE APPLICATION FOR REGISTRATION U/S 12A OF THE INCOME- TAX ACT, 1961 MERELY ON ASSUMPTIONS, PRESUMPTIONS AND APPREHENSIO NS, WITHOUT APPRECIATING THE FACTUAL, LEGAL AND STATUTO RY POSITION FOR GRANT OF REGISTRATION. 2. THAT THE LEARNED CIT(EXEMPTIONS) FAILED TO APPRE CIATE THAT ACTIVITIES OF THE APPELLANT, INTER ALIA, INCLU DE THE MAIN ACTIVITY OF 'PROVIDING VOCATIONAL TRAINING' IN VARI OUS FIELDS UNDER THE SKILL DEVELOPMENT PROGRAMME OF GOVERNMENT OF IN DIA TO CREATE SKILLED MANPOWER IN THE COUNTRY AND IS COVER ED UNDER BOTH 'EDUCATION', & 'ADVANCEMENT OF ANY OTHER OBJECT OF GENERAL PUBLIC UTILITY' AS PROVIDED IN SECTION 2(15) OF INC OME TAX ACT. 3. THAT THE LEARNED CIT(EXEMPTIONS) ERRED IN REJECT ING THE APPLICATION U/S 12A ON THE GROUND THAT THE APPELLAN T COMPANY HAS BEEN FORMED SPECIFICALLY TO CARRY OUT THE CSR O BLIGATIONS OF THE PARENT COMPANY. HE FAILED TO APPRECIATE THAT TH E 'VOCATIONAL TRAINING' IS A PART OF THE PERMITTED CSR ACTIVITIES NOTIFIED BY THE GOVERNMENT OF INDIA WHICH CAN BE CARRIED OUT BY THE COMPANY ON ITS OWN OR THROUGH A TRUST / SOCIETY / SECTION 8 COMPANY. 4. THAT THE LEARNED CIT(EXEMPTIONS) HAS FAILED TO C ARRY OUT THE MANDATORY REQUIREMENT OF SATISFYING HIMSELF ABO UT THE OBJECTS AND GENUINENESS OF THE ACTIVITIES OF THE AP PELLANT INSTITUTION BUT INSTEAD GOING BEYOND HIS MANDATE BY LOOKING INTO THE PURPOSES OF CREATION OF THE APPELLANT INSTITUTI ON AND DECLINING THE REGISTRATION PRIMARILY FOR SAME REASON. ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 3 3. BRIEFLY STATED THE FACTS NECESSARY FOR ADJUDICAT ION OF THE CONTROVERSY AT HAND ARE : THE APPLICATIONS MOVED BY THE ASSESSEE COMPANY IN FORM NO.10A AND 10G FOR REGISTRATION UND ER SECTION 12AA OF THE INCOME-TAX ACT, 1961 (FOR SHORT THE AC T) AND APPROVAL U/S 80G OF THE ACT RESPECTIVELY HAVE BEEN REJECTED BY THE LD. CIT ON THE GROUNDS INTER ALIA THAT THE PRIMARY AIM FOR FORMING THE COMPANY BY THE ASSESSEE/APPLICANT U/S 8 OF THE COMPANIES ACT, 2013 IS MERELY TO COMPLY WITH THE REQUIREMENT OF CO RPORATE SOCIAL RESPONSIBILITY (CSR); THAT THE COMPANY HAS BEEN FOR MED TO IMPLEMENT THE CSR ACTIVITIES OF FINANCING/PARENTAL COMPANY; THAT THE COMPOSITION OF APPLICANT COMPANY IS RESTRICTED AND TO THAT EXTENT IS NOT AMENABLE TO THE PUBLIC CHARITY; THAT IT DOES NOT ENSURE TO HAVE BEEN FORMED TO EXTEND BENEFIT TO THE GENERA L PUBLIC AND AS SUCH, DOES NOT PARTAKE THE MEANING OF PUBLIC CHARIT ABLE COMPANY; THAT THERE IS NO RATIONALE FOR SEEKING FURTHER EXEM PTION ON THE BASIS OF SOME ACTIVITIES WHEN THE SKILL DEVELOPMENT ACTIV ITIES UNDERTAKEN BY THE APPLICANT ARE ALREADY SUBSIDIZED BY THE GOVE RNMENT OF INDIA AND THAT THE ACTIVITIES OF TRAINING ALSO DO NOT FAL L UNDER ANY LIMB OF CHARITABLE ACTIVITIES DEFINED U/S 2(15) OF THE ACT. CONSEQUENTLY, THE LD. CIT (E) ALSO DECLINED THE APPROVAL U/S 80G OF THE ACT. ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 4 4. FEELING AGGRIEVED, THE ASSESSEE/APPLICANT COMPAN Y HAS COME UP BEFORE THE TRIBUNAL BY WAY OF FILING THE PRESENT APPEALS BY CHALLENGING THE IMPUGNED ORDERS PASSED BY LD. CIT . 5. WE HAVE HEARD THE LD. AUTHORIZED REPRESENTATIVES OF THE PARTIES TO THE APPEAL, GONE THROUGH THE DOCUMENTS R ELIED UPON AND ORDERS PASSED BY THE REVENUE AUTHORITIES BELOW IN T HE LIGHT OF THE FACTS AND CIRCUMSTANCES OF THE CASE. 6. UNDISPUTEDLY, APPLICANT COMPANY HAS BEEN REGISTE RED U/S 8 OF THE COMPANIES ACT, 2013 BY THE CENTRAL GOVERNMEN T AFTER BEING SATISFIED THAT THE SAME HAS BEEN CONSTITUTED WITH C HARITABLE OBJECTS ETC. IT IS ALSO NOT IN DISPUTE THAT VIDE REPLY DAT ED 07.12.2016, APPLICANT PRODUCED BEFORE THE LD. CIT (E) AUDITED F INANCE FOR THE PERIOD ENDING 31.03.2016, RECEIPT AND PAYMENT ACCOU NT FOR THE FINANCIAL YEAR 2015-16, COPY OF AGREEMENT DATED 09. 11.2016 EXECUTED WITH THE NATIONAL SKILL DEVELOPMENT CORPOR ATION, ACKNOWLEDGE OF INCOME-TAX RETURN FOR AY 2015-16 & 2 016-17 ALONG WITH COMPUTATION OF INCOME AND COPIES OF BANK STATEMENT SINCE ITS INCEPTION. IT IS ALSO NOT IN DISPUTE THAT THE APPLICANT COMPANY IS A PART AND PARCEL OF ESCORTS LIMITED WHO IS MAIN MEMBER OF THE APPLICANT COMPANY. IT IS ALSO NOT IN DISPUTE THAT THE CORPUS FUND IN TOTALITY HAS BEEN CONTRIBUTED BY THE PREDOMINANT STAKEHOLDERS. IT IS ALSO NOT IN DISPUTE THAT THE D IRECTOR OF THE ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 5 APPLICANT COMPANY, SHRI G.B. MATHUR IS ALSO ON THE BOARD OF DIRECTORS OF ESCORTS LIMITED. IT IS ALSO NOT IN DI SPUTE THAT THE APPLICANT COMPANY IS WORKING SOLELY WITH THE FUNDS PROVIDED BY ITS MAIN CONTRIBUTOR, M/S. ESCORTS LTD. WHILE FULFILLIN G THEIR CSR OBLIGATION. 7. BEFORE PROCEEDING FURTHER, WE WOULD LIKE TO EXAM INE AIMS AND OBJECTS OF THE APPLICANT COMPANY WHICH ARE EXTR ACTED FOR READY PERUSAL AS UNDER :- 3.(A) THE OBJECTS FOR WHICH THE COMPANY IS ESTABLI SHED ARE: TO ESTABLISH AND RUN IN INDIA OR ABROAD EDUCATIONAL INSTITUTIONS LIKE SCHOOL, COLLEGE, APPRENTICE TRAINING, PRACTICA L TRAINING CLASSES, VOCATIONAL TRAINING, BOARDING FACILITIES, GO, GURUKULS, TEACHING CLASSES, PLACEMENT SERVICES, LIBRARIES, HO STELS, CANTEENS, SCIENCE AND NON-SCIENCE STREAM LABS AND WORKSHOPS O F ALL PROFESSIONS AND OF ALL ALLIED NATURE OF CLASSES AND TO CONDUCT COURSES FOR UNDER GRADUATE, GRADUATES AND POST GRAD UATE DEGREE AND DIPLOMA IN THE SUBJECTS AND BRANCHES OF ALL TYP ES OF DISCIPLINES/FACULTIES SUCH AS COMMERCE, HARDWARE, S OFTWARE, COMPUTERS, SCIENCE, ARTS, BUSINESS MANAGEMENT, ENGI NEERING, SCIENCE MEDICAL INDUSTRIAL, PHARMACY, MINING, MILIT ARY, MUSIC, DANCE, ACTING, SPORTS, JOURNALISM, AND ANY OTHER FI ELD OF ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 6 EDUCATION AND TO ACT AS ADVISORS, CONSULTANTS, PROM OTERS, PARTNERS OR ASSOCIATES FOR SUCH BUSINESS AND TO GET AFFILIAT ED/ASSOCIATED WITH INDIAN AND/OR FOREIGN UNIVERSITIES, INSTITUTES , COLLEGES AND GRANT DEGREES/DIPLOMAS ETC ON BEHALF OF SUCH AFFILI ATED INSTITUTION, TO PROVIDE LEARNING SOLUTIONS AND TO A CHIEVE THE OBJECT TO ESTABLISH AND RUN EDUCATIONAL INSTITUTIONS, AND TO CONDUCT PRACTICAL PRACTICES/WORKSHOPS THEREOF INCLUDING DIS TANCE LEARNING PROGRAMS WITH OR WITHOUT ELECTRONIC MEDIA OR E-BUSI NESS HELP AND TO GRANT FRANCHISE OF AND TO RUN AND SET UP ALL SUPPORT FACILITIES FOR SUCH STUDENTS INCLUDING HOSTELS, CAN TEENS, MESS, ENJOYMENT AND RECREATIONAL FACILITIES AND/OR TO ACT AS ADVISORS, CONSULTANTS FOR SETTING UP SUCH INSTITUTES/CLASSES AND BUSINESS AS MAY BE INCIDENTAL OR NECESSARY FOR THE ACHIEVEMENT OF THE ABOVE OBJECT. (B) THE OBJECTS FOR DOING OF ALL SUCH OTHER LAWFUL THINGS AS ARE INCIDENTAL OR CONDUCIVE TO THE ATTAINMENT OF TH E ABOVE OBJECTS ARE: (I) TO PURCHASE, HIRE OR OTHERWISE ACQUIRE AND MAI NTAIN SUITABLE BUILDINGS, APARTMENTS, COMPUTER EQUIPMENTS , APPLIANCES, FURNITURE AND OTHER FITTINGS IN ANY COUNTRY FOR ITS ESTABLISHMENTS FOR THE OBJECTS FOR WHICH THE COMPANY IS ESTABLISHE D; ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 7 (II) TO SUBSCRIBE FOR, BECOME A MEMBER OF AND COOP ERATE WITH ANY OTHER ASSOCIATION, NATIONAL OR INTERNATIONAL, W HETHER INCORPORATED OR NOT, WHOSE OBJECTS ARE, ALTOGETHER OR IN PART, SIMILAR TO THOSE CONTAINED IN THIS MEMORANDUM AND T O OBTAIN FROM AND COMMUNICATE TO ANY SUCH ASSOCIATION, SUCH INFORMATION AS MAY BE LIKELY TO FULFILL THE OBJECTI VES OF THIS COMPANY. (III) TO RECEIVE GRANTS, GIFTS, LOANS, SUBSCRIPTIO NS, DONATIONS OR ANY OTHER FINANCIAL CONTRIBUTION IN CASH AND SECURI TIES AND OF ANY PROPERTY, EITHER MOVEABLE OF IMMOVABLE: WITHIN THE COUNTRY OR/AND ABROAD AND, TO VARY, ALTER OR TRANSFER SUCH INVESTMENTS FROM TIME TO TIME. ETC. 8. BARE PERUSAL OF THE IMPUGNED ORDER PASSED BY THE LD. CIT (E) GOES TO PROVE THAT REGISTRATION AND APPROVAL U/S 12 AA AND 80G OF THE ACT HAS BEEN DECLINED ON THE GROUNDS INTER ALIA THAT APPLICANT COMPANY HAS BEEN CONSTITUTED AS A CAPTIVE COMPANY B Y THE ESCORTS LIMITED IN ORDER TO REDEEM THEIR CSR OBLIGATION; TH AT THERE IS A CLOSE ARRANGEMENT VIDE WHICH CORPORATE ENTITY IS NO T ONLY ABLE TO REDEEM ITS CSR OBLIGATION BUT ALSO AT THE SAME TIME ABLE TO CONTROL THE FINANCES OF THE APPLICANT COMPANY; AND THAT RES ULTANTLY THE MONEY WHICH WOULD NOT HAVE BEEN OTHERWISE DEDUCTIBL E AS ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 8 EXPENDITURE IS NOW BEING CLAIMED EXEMPT AND THAT TH ERE IS NO RATIONALE FOR SEEKING FURTHER EXEMPTION ON THE SAME ACTIVITIES BEING PERFORMED BY THE APPLICANT COMPANY UNDER CSR OBLIGA TION. 9. IN THE BACKDROP OF THE AFORESAID FACTS AND CIRCU MSTANCES OF THE CASE, THE LD. AR FOR THE APPLICANT COMPANY CONT ENDED INTER ALIA THAT THE APPLICATIONS U/S 12A AND 80G OF THE ACT HA VE BEEN WRONGLY REJECTED BY THE LD. CIT (E) BY IGNORING THE FACT THAT THE MAIN ACTIVITY OF THE APPLICANT COMPANY IS PROVIDING VOCATIONAL TRAINING IN VARIOUS FIELDS UNDER THE SKILL DEVELOP MENT PROGRAMME OF GOVERNMENT OF INDIA; THAT VOCATIONAL TRAINING I S PART OF CSR ACTIVITIES NOTIFIED BY THE GOVERNMENT OF INDIA WHIC H CAN BE CARRIED OUT BY THE APPLICANT COMPANY ON ITS OWN OR THROUGH A TRUST/ SOCIETY/COMPANY REGISTERED U/S 8 OF THE COMPANIES A CT, 2013 AND RELIED UPON THE DECISIONS OF (I) NANAK CHAND JAIN CHARITABLE TRUST VS. CIT (E), CHANDIGARH (2018) 91 TAXMANN.C OM 197 (DELHI-TRIB.); (II) PROCESS-CUM-PRODUCT DEVELOPMENT CENTRE VS. ADDL. CIT (2019) 103 TAXMANN.COM 191 (DELHI-TRIB. ); (III) CIT, FARIDABAD VS. IILM FOUNDATION ACADEMY (2016) 75 TAXMANN.COM 214 (P&H); (IV) CIT (E), CHANDIGARH VS. SHRI SHIRDI SAI DARBAR CHARITABLE TRUST (DHARAMSHALA) (2017) 81 TAXMANN.COM 49 (P&H); AND (V) DIRECTOR OF INCOME-TA X (E) VS. ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 9 M/S. GROUP VOCATIONAL TRAINING CENTRE TRUST IN ITA NO.199/2015 . 10. HOWEVER, ON THE OTHER HAND, LD. DR FOR THE REVE NUE RELIED UPON THE ORDER PASSED BY THE LD. CIT (E) AND CONTEN DED THAT CHARITABLE ACTIVITIES UNDER THE GARB OF CSR ACTIVIT IES ARE MERE CAMOUFLAGE TO GET THE REGISTRATION U/S 12AA AND 80G OF THE ACT. 11. BY NOW, IT IS SETTLED PRINCIPLE OF LAW AND FACT THAT CSR ACTIVITIES ARE PUBLIC CHARITABLE ACTIVITIES PER SE, WHICH FACT IS ALSO EVIDENT FORM SECTION 8 OF THE COMPANIES ACT, 2013. AT THE SAME TIME, WHEN WE EXAMINE THE AIMS AND OBJECTS OF THE A PPLICANT COMPANY IN TOTALITY, THE SAME ARE TO ESTABLISH AND RUN EDUCATIONAL INSTITUTION LIKE SCHOOL, COLLEGES, APPRENTICE TRAIN ING, PRACTICAL TRAINING CLASSES, VOCATIONAL TRAINING, BOARDING FAC ILITIES, NGO, GURUKULS, TEACHING CLASSES, ETC. IN INDIA AND ABR OAD WHICH CERTAINLY FALLS UNDER THE CHARITABLE ACTIVITIES U/S 2(15) OF THE ACT. 12. APPLICANT COMPANY HAS BROUGHT ON RECORD NOTE ON SKILL DEVELOPMENT INITIATION, AVAILABLE AT PAGES 23 TO 25 OF THE PAPER BOOK, WHEREIN IT IS RECORDED THAT APPLICANT COMPANY IN THE PAST 8 MONTHS HAS GOT AFFILIATED TO INFRASTRUCTURE EQUIPME NT, CONSTRUCTION ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 10 AND AGRICULTURE SECTOR SKILL COUNCILS AND HAS SET U P TRAINING INSTITUTE AT FARIDABAD HAVING QUALITY WORKSHOPS AND HAS DELIVERED TRAINING TO NEARLY 200 LEARNERS. APPLICANT COMPANY HAS ALSO PARTNERED WITH NATIONAL SMALL INDUSTRY CORPORATION FOR IMPARTING TRAINING ON HEAVY EQUIPMENT OPERATORS FOR WHICH THE Y HAVE TRAINED AND CERTIFIED ABOUT 30 TRAINEES AS BACKHOE LOADER A ND PNC CRANE OPERATORS WHO HAVE BEEN PLACED WITH ITS DEALERS. A PPLICANT COMPANY IS HAVING CANDIDATE DATA BASE OF ABOUT 1000 CANDIDATES. THE REVENUE HAS NOT BROUGHT ON RECORD IOTA OF EVIDE NCE TO PROVE THAT THE YOUTHS TRAINED BY THE APPLICANT COMPANY HA VE NOT BEEN EMPLOYED ELSEWHERE. EVEN OTHERWISE, THERE CANNOT B E ANY RESTRAIN ON A TRAINEE TO GET THE PLACEMENT AS PER HIS CONVEN IENCE. 13. MERELY BECAUSE OF THE FACT THAT THE APPLICANT C OMPANY HAS BEEN ESTABLISHED TO COMPLY WITH THE CSR OBLIGATIONS , THE REGISTRATION U/S 12AA OF THE ACT CANNOT BE DENIED, PARTICULARLY WHEN CSR ACTIVITIES ARE ALSO CHARITABLE ACTIVITIES AS DEFINED UNDER THE ACT. 14. COORDINATE BENCH OF THE TRIBUNAL IN CASE CITED AS PROCESS- CUM-PRODUCT DEVELOPMENT CENTRE VS. ADDL. CIT (201 9) 103 TAXMANN.COM 191 (DELHI-TRIB.) HELD THAT :- ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 11 WHERE ASSESSEE WAS CONDUCTING VARIOUS SKILL TRAINI NG PROGRAMS FOR STUDENTS TO GET PLACEMENT ACTIVITIES W OULD FALL WITHIN DEFINITION OF EDUCATION UNDER SECTION 2 (15), THUS ENTITLING IT FOR EXEMPTION UNDER SECTION 10(23C)(IIIAB). 15. IDENTICAL ISSUE AS TO WHETHER REGISTRATION U/S 12AA OF THE ACT CAN BE DENIED TO A TRUST MERELY FORMED FOR COMP LYING WITH THE CSR OBLIGATION OF THE SETTLER COMPANY HAS BEEN DECIDED IN FAVOUR OF THE ASSESSEE/APPLICANT BY ANSWERING THE QUESTION IN NEGATIVE IN CASE CITED AS NANAK CHAND JAIN CHARITABLE TRUST VS. CIT (2018) 91 TAXMANN.COM 197 (DELHI-TRIB.) . 16. LD. CIT (E) WAS ONLY REQUIRED TO FIRSTLY SATISF IED HIMSELF IF THE TRUST HAS BEEN ESTABLISHED FOR CHARITABLE ACTIV ITIES AND ITS ACTIVITIES ARE GENUINE FOR THE PURPOSE OF GRANT OF REGISTRATION U/S 12AA OF THE ACT, REST OF THE SUSPICION AND APPREHEN SIONS RAISED BY THE LD. CIT (E) CAN BE TAKEN CARE OF BY THE REVENUE AT THE TIME OF FRAMING ASSESSMENT. MOREOVER, THE LD. CIT (E) DECL INED THE REGISTRATION MERELY ON THE BASIS OF ASSUMPTIONS AND PRESUMPTIONS. 1. FOLLOWING THE DECISION RENDERED BY THE COORDINAT E BENCH OF THE TRIBUNAL IN CASE CITED AS NANAK CHAND JAIN CHARITABLE TRUST VS. CIT (2018) 91 TAXMANN.COM 197 (DELHI-TRIB.) AND CASE DECIDED BY HONBLE HIGH COURT OF PUNJAB & HARYANA I N CIT VS. IILM FOUNDATION ACADEMY (2016) 75 TAXMANN.COM 214 ITA NO.527/DEL./2017 ITA NO.528/DEL./2017 12 (P&H) , WE ARE OF THE CONSIDERED VIEW THAT IMPARTING SKI LL DEVELOPMENT TRAINING, BY THE APPLICANT COMPANY WHI CH IS ALSO A FLAGSHIP PROJECT OF THE GOVERNMENT OF INDIA FOR SUS TAINING ITS GROWTH RATE AND TO CREATE THE POOL OF SKILL WORKER TO FURTHER ENHANCE ITS GROWTH AND DEVELOPMENT IS A CHARITABLE ACTIVITY FOLLOWING WITHIN THE DEFINITION EDUCATION U/S 2(15) OF THE ACT ENTITLING THE APPLICANT COMPANY FOR REGISTRATION U/ S 12AA OF THE ACT AND CONSEQUENT APPROVAL U/S 80G OF THE ACT, HEN CE BOTH THE APPEALS FILED BY THE APPLICANT COMPANY ARE ALLOWED DIRECTING THE LD. CIT (E) TO PROVIDE REGISTRATION U/S 12AA TO THE ASS ESSEE AND GRANT CONSEQUENT APPROVAL U/S 80G OF THE ACT. 17. RESULTANTLY, BOTH THE APPEALS FILED BY THE ASSE SSEE/APPLICANT ARE ALLOWED. ORDER PRONOUNCED IN OPEN COURT ON THIS 26 TH DAY OF APRIL, 2019. SD/- SD/- (R.K. PANDA) (KULDIP SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED THE 26 TH DAY OF APRIL, 2019/TS COPY FORWARDED TO: 1.APPELLANT 2.RESPONDENT 3.CIT 4.CIT(A)- VI, NEW DELHI. 5.CIT(ITAT), NEW DELHI. AR, ITAT NEW DELHI.