ALLAHABAD DEVELOPMENT AUTHORITY,ALLAHABAD vs. ACIT (EXEMPTION), LUCKNOW

In the result all three appeals of the Assessee are partly allowed

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudhary

trust or institution from being a valid charity. However, in the case of the assessee, the dominant object of the assessee was not charity but commercial activity carried on with profit motive which was evident from the object clause. He noticed that there was nothing in the object clause regarding application of any income of the assessee for charitable purposes