SC: Advancement of general public utility services would not be charitable if done for profit purpose
Last updated: 21 October 2022
Court :
Supreme Court of India
Brief :
THE SUPREME COURT HELD THAT entities created with the object of advancing general public utility cannot seek exemption under the Income Tax Act 1961 under the head "charitable purposes" if they are engaging in any trade, business, commerce or providing any service for any consideration. However, in the course of carrying out the general public utility, the assessee can engage in incidental trade or business or provide services for consideration and can generate profits. If the receipts generated out of such incidental activities are within the quantified limits, the trusts are entitled to seek Income Tax Exemption.
Citation :
2022 Live Law (SC) 865
You have reached daily limit of 2 Free Judgements. To view this or other Judgements please subscribe to CCI PRO :
Stay updated! Stay ads free
Browse CAclubindia ads free.
Latest updates on WA.
Daily E-Newsletter and much more.
CCI PRO annual subscription :
Original Price : INR 2999/-
Offer Price : INR 1999/-
Duration : 1 year
(Prices Inclusive of GST)
Know More
Note: If you are a PRO member already, please click here to login (for ad free experience)
FCS Deepak Pratap Singh
Published in LAW
Views : 1151
Comments
Trending Online Classes
-
LIVE Course on GSTR-9 & GSTR-9C (Technical | Practical | Concept - Based)
Sachin Jain03 November 2025
CAclubindia
