1. Father Mullers Charitable Institutions 363 IT 230 (Kar.) 2. DIT(E) v. Sheth Mafatlal Gagalbhai Foundation Trust

249 ITR 533High Court2001#994 most cited

What is 1. Father Mullers Charitable Institutions 363 IT 230 (Kar.) 2. DIT(E) v. Sheth Mafatlal Gagalbhai Foundation Trust authority for?

Income of a trust that is taxable at the maximum marginal rate should be taxed accordingly, while other income is eligible for exemption under Section 11 of the Income-tax Act.

108

judgments rely on this decision, according to BharatTax’s citation analysis of 366,459 Indian tax judgments — from 2015 to 2026.

Also referred to as

Father Mullers Charitable Institutions · Section 11 · Section 164(2) · maximum marginal rate · charitable trust income · exemption u/s 11 · taxable at maximum marginal rate · DIT(E) vs. Sheth Mafatlal Gagalbhai Foundation Trust

Sections most often in play

Section 11Section 11(5)Section 13(1)(c)Section 13(3)Section 164(2)Section 13(1)(d)Section 12Section 143(3)

Issues it is cited on

section 13(l)(d)section 164(2)section 13(1)(d)section 13(2)section 164section 2(29c)section 13(1)(c)(ii)section 243section 13(3)section 11(5)section 161maximum marginal rate

Judgments citing 1. Father Mullers Charitable Institutions 363 IT 230 (Kar.) 2. DIT(E) v. Sheth Mafatlal Gagalbhai Foundation Trust

Bhansilal Ramnath Agarwal Charitable Trust vs. Deputy Commissioner of Income-Tax

In the result, both the appeals of the assessee are partly allowed

ITA 1133/PUN/2016[2008-09]Status: DisposedITAT Pune01 Jun 2018AY 2008-09

Bench: Shri D.Karunakara Rao, Am & Shri Vikas Awasthy, Jm आयकर आयकर अपील आयकर आयकर अपील अपील संसंसंसं. / Ita Nos.1147, 1133, 1134 & 1136/Pun/2016 अपील िनधा"रण िनधा"रण वष" िनधा"रण िनधा"रण वष" वष" / Assessment Years : 2007-08 To 2009-10 & 2011-12 वष"

For Appellant: Shri Nikhil PathakFor Respondent: Smt. Nirupama Kotru, CIT-DR
Section 11Section 36

…पुणे "यायपीठ "यायपीठ "यायपीठ “बी "यायपीठ पुणे म"म"म"म" आयकर आयकर अपीलीय आयकर आयकर अपीलीय अपीलीय अिधकरण अपीलीय अिधकरण अिधकरण, पुणे अिधकरण पुणे पुणे बी बी” पुणे बी पुणे पुणे IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “B”, PUNE "ी "ी डी "ी "ी डी. क"णाकरा क"णाकरा क"णाकरा राव क"णाकरा लेखा सद"य सद"य सद"य सद"य डी डी राव राव , लेखा राव लेखा लेखा एवं "ी "ी "ी िवकास "ी िवकास अव"थी अव"थी अव"थी, "याियक अव"थी "याियक "याियक सद"य "याियक सद"य सद"य केकेकेके सम" सद"य सम" सम" सम" एवं एवं एवं िवकास िवकास BEFORE SHRI D.KARUNAKARA RAO, AM AND SHRI VIKAS AWASTHY, JM आयकर आयकर अपील आयकर आयकर अपील अपील संसंसंसं. / ITA Nos.1147, 1133…

ITO (E), New Delhi vs. The Times Centre for Media and Management Studies, New Delhi

Appeal of the department stands dismissed

ITA 1389/DEL/2015[2010-11]Status: DisposedITAT Delhi31 May 2018AY 2010-11

Bench: Sh. Pramod Kumar & Sh. Sudhanshu Srivastavaa.Y. : 2010-11 Ito (E) The Times Centre For Ward-2(3) Media & Management Studies Vs. New Delhi 10, Daryaganj Pan : Aaact3554H

For Respondent: Sh. Ravi Kant Gupta, Sr. DR
Section 11Section 11(1)Section 11(5)Section 12ASection 13(1)Section 13(1)(d)Section 25

…tion 13(1)(d) does not tantamount to denial of exemption under section 11 on the total income of the assessee. An identical question came before the Bombay High Court in the case reported in DIT (Exemptions) v. Sheth Mafatlal Gagalbhai Foundation Trust [2001] 249 ITR 533 (Bom). The question before the Bombay High Court is "Whether violation of section 11(5) read with section 13(1)(d) by the assessee-trust attracts the maximum marginal rate of tax on the entire income of the trust ?" The Bombay High Court held that in case of contravention of section 13(1)(d), the maximum marginal rate of tax under section 164(2),…

The DCIT, Calicut vs. M/S.Kunhitharuvai Memorial Charitable Trust, Calicut

In the result, the appeal filed by the revenue is dismissed

ITA 336/COCH/2015[2005-06]Status: DisposedITAT Cochin11 Sept 2017AY 2005-06

Bench: S/Shri George George K, Jm & Manjunath. G, Am The Dy Commr Of Income Tax Vs M/S Kunhitharuvai Memorial Central Circle Charitable Trust Kozhikode No.1 Mcc Cross Road Kozhikode 673 001 ( Appellant) (Respondent)

Section 11Section 12ASection 13(1)Section 13(1)(c)Section 13(3)Section 143(2)

…at the maximum marginal 13 rate of tax; but not the whole income of the trust. This provisions further supported by the decision of the Hon’ble Bombay High Court in the case of DIT(Exemption) vs Sheth Mafatlal Gagalbai Foundation Trust reported in (2001) 249 ITR 533 and also the decision of the Hon’ble Karnataka High Court in the case of CIT vs Fr. Mullers Charitable Institutions reported in (2014) 363 ITR 230. We further observe that the Hon’ble Supreme Court has dismissed the Special Leave Petition filed by the revenue against the order of the Hon’ble Karnataka High Court, in the case of CIT vs Fr. Mulle…

Seth Walchand Hirachand Memorial Trust, Mumbai vs. ITO (E) II(1), Mumbai

In the result, the appeal filed by the assessee is hereby ordered to be Allowed

ITA 4852/MUM/2016[2010-11]Status: DisposedITAT Mumbai29 Mar 2017AY 2010-11

Bench: Shri D. Karunakara Rao, Am & Shri Amarjit Singh, Jm

For Appellant: Ms. Vaibhavi PatelFor Respondent: Shri M. C. Omi Ningshan
Section 10(33)Section 11Section 11(1)(a)Section 12ASection 142(1)Section 143(2)

…eated as exemption by virtue of non fulfillment of conditions of investment in specified securities as prescribed u/s 11(5). The Hon’ble Jurisdictional High Court in the case of Director of Income Tax (Exemption) Vs. Sheth Mafatlal Gagalbhai foundation Trust (249 ITR 533) as held in para 6 as under:- “Section 164 of the Income-tax Act does not create a charge on the income of a discretionary trust. The word "charge" in Section 164 means "levy". Section 164(2) refers to the relevant income which is derived from property held under trust wholly for charitable or religious purposes. If such income consists of severa…

I.T.O(E)-II, Kolkata vs. Future Education Rescarch Trust., Kolkata

In the result, assessee’s CO is dismissed as infructuous

ITA 1031/KOL/2013[2009-10]Status: DisposedITAT Kolkata08 Feb 2017AY 2009-10

Bench: Shri Waseem Ahmed & Shri S.S.Viswanethra Ravi & C.O.No.69/Kol/2013 (A/O Ita No.1031/Kol/2013) Assessment Year:2009-10

Section 10Section 11Section 12ASection 13(1)(c)Section 143(3)

…the Act that is liable to be taxed and that violation under Section 13(l)(d) does not tantamount to denial of exemption under Section 11 on the total income of the assessee.An identical question came before the Bombay HighCourt in the case reported in (2001) 249 ITR 533 (Bom) (supra). The question before the Bombay High Court is “ Whether violation of Section 11(5) r/w Section 13(l)(d) by the assessee-Trust attracts maximum marginal rate of tax on the entire income of the Trust? The Bombay High Court held that in case of contravention of Section 13(l)(d), maximum marginal rate of tax under Section 164(2), provis…

Lokmanya Tilad Janakalya Shikshan Sanstha, Nagpur vs. Assistant Commissioner of Income Tax Circle -2, Nagpur

In the result, this appeal by the assessee stands partly allowed

ITA 384/NAG/2012[2008-09]Status: DisposedITAT Nagpur09 Jan 2017AY 2008-09

Bench: Shri Shamim Yahya & Shri Ram Lal Negi..

For Appellant: Shri K.P. DewaniFor Respondent: Shri A.R. Ninawe
Section 1Section 11Section 13(1)(c)Section 13(3)Section 40

…ITAT order in ITA NO.1712/PN/2007 in the case of M/s. Audyogik Shikshan Mandal vide order dated 03/11/2014 2) (2014) 365 ITR 353 (Mad.) CIT vs. Working Women's Forum 3) (2015) 235 Taxman 0516 (SC) Director of Income Tax vs. Working Women's Forum 4) (2001) 249 ITR 533 (Bom.) 5) (2014) 363 ITR 0230 (Kar:) CIT vs. Fr. Mulles Chartiable Institutions 6) Hon'ble Gujarat High Court order in Tax Appeal No.187 of 2005 in the case of S.P. Mehta Memorial Trust vide order dated13/11/2014. ' 7) Hon'ble Karnataka High Court order in ITA No.557/2008 in the case of Karnataka Industrrial Area Development Board vide order dat…

Asst CIT (E) I(1), Mumbai vs. Jamshetjee Tata Trust, Mumbai

ITA 3807/MUM/2015[2011-12]Status: DisposedITAT Mumbai04 Feb 2016AY 2011-12
For Appellant: Shri Dilip J. ThakkarFor Respondent: Shri Alok Johri-DR
Section 10(34)Section 11Section 11aSection 13(1)(d)Section 143(3)Section 164(2)Section 254(1)

…of conditions of investment in specified securities as prescribed u/s 11(5). The Hon’ble Jurisdictional High Court in the case of Director of Income ITA/3807/M/15,AY.11-12-Jamshetjee Tata Trust Tax (Exemption) Vs. Sheth Mafatlal Gagalbhai foundation Trust (249 ITR 533) as held in para 6 as under:- “Section 164 of the Income-tax Act does not create a charge on the income of a discretionary trust. The word "charge" in Section 164 means "levy". Section 164(2) refers to the relevant income which is derived from property held under trust wholly for charitable or religious purposes. If such income consists of severa…

Free Trade Union Multipurpose Trust, Mumbai vs. ACIT Cen Cir 43, Mumbai

ITA 352/MUM/2014[2003-04]Status: DisposedITAT Mumbai16 Dec 2015AY 2003-04
For Appellant: Shri N.K.AgarwalFor Respondent: Shri Vivek Batra
Section 11Section 13(3)Section 148

…IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “F”, MUMBAI BEORE SHRI N.K.BILLAIYA, ACCOUNTNT MEMBER AND SHRI PAWAN SINGH, JUDICIAL MEMBER M/s. Free Trade Unions Multipurpose – Project Trust, C/o. M/s. Engineering Mazdoor Sabha, Kennedy House, 4th Floor, Goregaonkar Road, Mumbai 400 007 PAN: AAATF000E .... Appellant Vs. The ACIT, Central Cir.43, 6th Floor, Aaykar Bhavan, MK Road,Mumbai 400 020. .... Respondent The ACIT, Central Cir.43, 6th Floor, Aaykar Bhavan, MK Road,Mumbai 400 020. ...... Appellant Vs. M/s. Free Trade Unions Multipurpose – Project Trust, C/o. M/s. Engineering Mazdoor Sabha, Kennedy Hous…