PER B.P.JAIN, AM ; This appeal of the assessee arises from the order of the CIT-II, Amritsar, dated 19 th July, 2013 passed under section 12AA of the Income Tax Act, 1961. The assessee has raised following grounds of appeal:

1. The order of Ld. CIT-II, Amritsar is bad in law and wrong on facts.

2. The Ld. CIT has erred in not granting the registration u/s 12AA and rejecting the application of the assessee.

3. The Ld. CIT has erred in holding that the activities of the Society are commercial in nature.

4. The Ld. CIT has wrongly applied the provisions of section 2(15) of the Income Tax Act, 1961 and holding that the societys advancement of any other object of general public ITA No.589(Asr)/2013 2 utility is in relation to trade, commerce, or business and thus not carrying any charitable activity as defined u/s 2(15) of the Act.

2. The brief facts of the case are that an application u/s 12A(a) in form No.10 for grant of registration u/s 12AA of the Act was filed by the applicant society on 31.01.2013. The application was accompanied with photocopy of the Memorandum of Association containing the objectives and functions of the society. The society has been registered on 16.04.2004 under Societies Registration Act (XXI of 1860). A report on the genuineness of the objects and activities of the applicant trust was obtained from the DCIT, Circle VI, Pathankot, the jurisdictional Officer. The DCIT, Cir.VI Pathankot vide his office letter No.664 dated 17.05.2013 submitted his report on the activities of the Society. The said report was endorsed by the Addition CIT,Range VI vide her office letter dated 21.05.2013. Both the AO and the Addl. CIT have brought out that the Society is earning huge profit for providing certain services to citizens after charging fees ( facilitation charges ). It has also been brought out that the Society has not incurred any expenditure on charitable work rather almost all the expenditure has been incurred on printing and stationary, salary to its employees, bank expenditure, computer repair, audit fee, electricity bill, telephone bills and other such expenditures. ITA No.589(Asr)/2013 3

3. The Ld. CITII, Amritsar after perusal of the relevant documents furnished as well as report of the DCIT, Circle VI, Pathankot and comments of the range side observed that the primary objective of the society, which listed at pages 1, 2, 3, 4 & 5 of CIT(A)s order. After perusal of the said objects and report of the DCIT, Pachinko and range side, the Ld. CIT rejected the application filed by the assessed under section 12AA of the Income Tax Act, 1961. The relevant observations of the Ld. CIT in Para 4 to 5 of the order for the sake of convenience are reproduced as under: 4. A plain reading of the aims and objectives of the society, contained in the Memorandum of Association shows that the objects of the society are for the advancement of and other object of general public utility as per definition of Charitable purposes as contained in Section 2(15) of the Income Tax Act, 1961. Further Ist Proviso to section 2(15) states,

Provided that the advancement of any other object of general public utility shall not be a charitable purpose. If it involves carrying on of any activity of rendering any service in relation to any trade, commerce, or business, for a cess of fee or any other consideration, irrespective of the nature of use or application or retention of the income from such activity.

The legislature vide amendment brought by the Finance Act, 1961, 2010 inserted 2 nd proviso to section 2(15) of the I.T.Act, 1961, as provided further that the first proviso shall not apply if the aggregate value of the receipts from the activities referred to therein is (twenty five lakh rupees) or less in the previous year.

4.1. A perusal of various documents and copies of account shows that the society has fixed fees for almost every facilitation service provided by it. During the proceedings, the assessee society has furnished a copy of circular No.12/03/2010/AM(EG)/1920 dated

26.04.2013 issued by Government of India, Punjab State e- Governance Society O/o Directorate of Governance Reforms SCO 193-195 Sector 34A, Chandigarh vide which recommendation of ITA No.589(Asr)/2013 4 charging of fees for various facilitation services has been provided. The chargeable fee, as per the said circular for some of the services is as under: S.No. Name of Service(s) Facilitation charges (including service tax (Rs)

1. Arm Licences related New Lic issuance services 700

2. Arm Licences related Renewal & other services 300

3. Pension to old age, widows, destitute children and disable persons 0

4. Counter Signing of Documents 150

5. Character verification 20

6. Issuance of Bus Passes 0

7. Issuance of Department Certificate 50

8. Issuance and Renewal of Lincences for (Arm dealers Cinema, Vedio Parlour 700

9. Endorsement of SPA/GPA 150 10 Issuance of nationality Certificate 30 Thus there is no ambiguity to the fact that the society is charging huge fees for almost all the services being provided to the citizens. Apart from charging facilitation charges, the Society is also earning income from sale of forms. It is also worth mentioning here that the fees/facilitation charges being charged by the Society are over and above the prescribed bill amount/fee/statutory fee for providing the services through the Society (mentioned at e in the aims and objectives of the society). Thus, the activities of the Society are commercial in nature. Further, the fees/charges earned by the society during the last three years are above Rs.25 lacs for each year, as such, by virtue of provisions of section 2(15) of the Act, the Society in question is not carrying on any charitable activity.

4.2. The DCIT Circle VI, Pathankot, in his report dated 17.05.2013 has also brought out that the Honble ITAT in the similar case of M/s. Sukhmani Society for Citizen Services, Mansa vs CIT ( ITA No. 551(Asr)/2011 has upheld the action of the CIT, Bathinda in rejecting ITA No.589(Asr)/2013 5 the application of the Society for registration u/s 12AA of the I.T.Act,

1961. On going through the judgment of the ITAT it is seen that the facts of the Sukhmani Society for Citizen Services, Gurdaspur are also similar to the facts adjudicated upon by the ITAT.

4.3. Thus keeping in view the above facts on record, I am of the considered opinion that the applicant trust is not entitled for registration u/s 12AA and the application filed by the Society on 31.01.2013, is hereby rejected.

4. The Ld. counsel for the assessee, Mr. Sajeev Sud, CA at the outset, conceded that on the identical issue, the case is decided against the assessee in the case of Sukhmani Society for Citizen Services, Mansa vs. DCIT Bathinda in ITA No.551(Asr)/2011, dated 26.09.2012. He also conceded that all the objects in the present appeal are identical to the objects in the case of Sukhmani Society for Citizen Services, Mansa vs. DCIT Bathinda (supra). However, he tried to distinguish the order of the Ld. CIT-II, Amritsar, in the impugned year in para 4 where the Ld. CIT-II, Amritsar has observed that objects of the Society are for the advancement of any other object of general public utility and argued that the Ld. CIT has himself observed that the assessee society is having objects of general public utility.

5. The Ld. DR, Mr. Sadd Kidwai, on the other hand strongly relied upon the order of the Ld. CIT-II, Amritsar.

6. We have heard the rival contentions and perused the facts of the case. As regards the arguments made by the Ld. counsel for the assessee, who ITA No.589(Asr)/2013 6 read two lines in para 4 of the order of the Ld. CIT-II, Amritsar, in fact, when the same is read in toto goes against the assessee . Therefore, the said para 4 of the Ld. CIT-II, Amritsar can not help the assessee. In fact, the objects of the society in the present case are identical to the objects in the case of Sukhmani Society for Citizen Services, Mansa vs. DCIT Bathinda (supra). The report of the genuineness of the objects and activities of the assessee-firm was obtained from DCIT, Pathankot and the said report was endorsed by the Addl. CIT, Range-VI, Pathankot vide letter dated

21.05.2013 and there is no dispute to this extent. On perusal of the facts in the present case, we find that the issue in the present appeal is identical to the facts in the case of Sukhmani Society for Citizen Services, Mansa vs. DCIT Bathinda (supra) and therefore, our order in the case of Sukhmani Society for Citizen Services, Mansa vs. DCIT Bathinda (supra) shall be identically applicable in the present case, which for the sake of convenience is reproduced hereinbelow: 7. We have heard both the parties and perused the relevant records available with us. The Ld. counsel for the assessee filed a chart of services and charges against the services rendered by the Society that are about 36 in number. For the sake of convenience, we reproduce the 17 services rendered by the Society and the charges taken by the Society, which are as under: SUKHMANI SOCIETY FOR CITIZEN SERVICES Vs. CIT. BATHINDA I.T.A. No. 551/ASR- 2011 ITA No.589(Asr)/2013 7 SERVICE Facili. Charges Time Frame Financial Year 2008-09 Financial Year 2009-10 Financial Year 2010-11 (Rs.) Days No. of Cases %age of Total No. of Cases %age of Total No. of Cases %age of Total 1 Issuance of Nationality Certificate 20 15 0 0 0 0.00% 11856 24.70% 2 Issuance of Birth Certificate 20 7 5001 32.46% 5419 11.62% 7462 15.55% 3 Driving Licences related services 20 7 0 0.00% 20041 42.96% 7326 15.26% 4 Arm Licences related Servess 500 45 4282 27.79% 5855 12.55% 5173 10.78% 5 Issuance of Affidavits 20 Same Day 1036 6.72% 4258 9.13% 5011 10.44% 6 Registration of Vehicle Services 100 5 0 0.00% 6096 13.07% 4675 9.74% 7 Issuance of Copy of a Document 30 7 1473 9.56% 1257 2.69% 1904 3.97% 8 Issuance of Death Certificate 20 7 975 6.33% 951 2.04% 1577 3.29% 9 Submission of Passport Applications 100 20 2101 13.63% 1654 3.55% 1282 2.67% 10 Agriculture related 100 30 274 1.78% 779 1.67% 614 1.28% 11 Non-Encumberence Certificate 20 0 0 0.00% 0 0.00% 374 0.78% 12 Form seeling 0 0 0 0.00% 0 0.00% 160 0.33% 13 Issuance of Surety Bonds 50 Same Day 5 0.03% 29 0.06% 151 0.31% 14 Registration of Marriage 500 Same Day 60 0.39% 88 0.19% 63 0.13% 15 Others 0 0 202 1.31% 218 0.47% 373 0.78% 16 NOC of Petrol Pump 1000 40 0 0.00% 0 0.00% 0 0.00% 17 NOC for Building Plan 500 30 0 0.00% 0 0.00% 0 0.00% TOTAL 15409 46645 48001 (COUNSEL FOR THE ASSESSEE (APPELLANT)

7.1. The Ld. CIT, Bathinda has also mentioned in para 3.3 at page 3 & 4 in the impugned order that the applicant has furnished a chart showing fee chargeable for providing various services to the citizens. A perusal of the chart shows that the applicant charges as much as Rs.1000/- for issuing NOC for petrol pump, Rs.500 for registration of marriage, Rs.500 for NOC on building plan and so on. It is pertinent to mention here that these charges are in addition to the statutory fees charged by the State Govt. Departments. These charges/fees are charged by the applicant for providing the alleged citizens services.

7.2. The Ld. counsel for the assessee has filed balance sheet as on

31.03.2009 in which the Society has shown liabilities and assets as well as Income & Expenditure account for the year ended 31.3.2009. For the sake of convenience, the balance sheet as on 31.03.2009 as well as Income & ITA No.589(Asr)/2013 8 Expenditure for the period ended 31.03.2009 of the Society are reproduced as under: SUKHMANI SOCIETY FOR CITIZEN SERVICES (D.C. OFFICE), MANSA BALANCE SHEET AS ON 31.03.2009 LIABILITIES AMOUNT (Rs) ASSETS AMOAUNT General Funds Fixed Assets 1452088.00 O. Balance- 3389932.99 (Details Attached) Less: Old Dep 1028849.00 Add : Tfd from 1344307.50 Telephone Security 500.00 I & E A/C _____________3705391.49 Loan to Distt.Nazar 143150.00 State Govt. 500000.00 Receivable from Ex. 77860.00 Clerk cum Accountant Sh. Ashok Kumar. Security from Computer 10000.00 Bank Balances: S.B.O.P., Mansa 1573840.99 Amount More deposited in 270.0 SBOP, Mansa ( I/A) 371818.00 Bank Account PNB, Budhlada 334408.50 SBOP, Sardulgarh 257726.00 Cash in Head 4270.00 --------------- ----------------

4215661.49 4215661.49 ---------------- ---------------- REPORT :- SUBJECT TO OUR SEPARATE AUDITED FOR REPORT OF EVEN DATE FOR SANJEEV AMAR & ASSOCIATES CHARTERED ACCONTANTS PLACE : MANSA (SANJEEV KUMAR) DATED : 18.08.2009 M. No. 500277 SUKHMANI SOCIETY FOR CITIZEN SERVICES (D.C. OFFICE), MANSA INCOME & EXPENDITUE ACCOUNT FOR THE PERIOD ENDING 31.03.2009 EXPENDITURE AMOUNT (Rs) INCOME Amount AMOUNT(Rs) To Pb. State e-goverance 381533.50 By Receipts 2592150.00 ITA No.589(Asr)/2013 9 Society, CHD By Bank Interest48843.00 To Printing & Stationery 29907.00 To Salary 539204.00 To Bank Exp. 490.00 To Computer Repair 27735.00 To Audit Fee 11000.00 To Electricity Bill 34028.00 To Telephone 5727.00 To SMS Exp. 945.00 To Photostate 1035.00 To Electric Repair 225.00 To Travelling 5150.00 To Depreciation 259706.00 To Income over Exp. 1344307.50 --------------- ---------------

2640933.00 2640933.00 ---------------- --------------- - REPORT :- SUBJECT TO OUR SEPARATE FOR REPORT OF EVEN DATE FOR SANJEEV AMAR & ASSOCIATES CHARTERED ACCUONTANTS PLACE : MANSA (SANJEEV KUMAR) DATED : 18.08.2009 M. No. 500277

7.3. Similarly, the balance sheet as on 31.03.2010 as well as the Income & Expenditure account for the period ending 31.03.2010 are also reproduced as under: SUKHMANI SOCIETY FOR CITIZEN SERVICES (D.C. OFFICE), MANSA BALANCE SHEET AS ON 31.03.2010 LIABILITIES AMOUNT (Rs) ASSETS AMOAUNT General Funds Fixed Assets 1431952.00 O. Balance- 3705391.49 (Details Attached) Add : Tfd from 1487573.50 Telephone Security 500.00 I & E A/C _____________5192964.99 Loan to Distt.Nazar 15000.00 ITA No.589(Asr)/2013 10 Security from Computer 10000.00. SDM Budhlada. 3000.00 Supplier Ch. Issued not Presented 16356.00 S.B.O.P.(Sweep in) 2784690.00 Bank Balance : S.B.O.P, Mansa 50281.00 SBOP, Mansa ( I/A) 377866.00 PNB, Budhlada 9349.00 SBOP, Budhlalda 296960.00 SBOP, Sardulgarh 429722.00 --------------- ----------------

5219320.99 5219320. ---------------- ---------------- REPORT :- SUBJECT TO OUR SEPARATE AUDITED FOR REPORT OF EVEN DATE FOR SANJEEV AMAR & ASSOCIATES CHARTERED ACCOUNTANTS PLACE : MANSA (SANJEEV KUMAR) DATED : 22.06.2010 M. No. 500277 INCOME & EXPENDITURE ACCOUNT FORTHE PERIOLD ENDING ON 31.3.2010 Expenditure Amount Income Amount To Pb. State e-governance 486084.50 By Receipts 3420275.00 Soceity Chd. To Printing & stationery 146145.00 By Bank Interest 86517.00 To Salary 917004.00 By Excess Deposit 250.00 To Bank Exp. 911.00 By Excess credit bank 10.00 To computer repair 64880.00 To Audit fee 7000.00 To electricity bill 49702.00 To Telephone 10590.00 To SMS Exp. 1122.00 To Advertisement 13113.00 To Electric Repair 4969.00 To Travelling 2346.00 To Misc. Exp. 670.00 To Postage 500.00 To Depreciation 314442.00 To Income over Exp. 1487573.00 ----------------------------

3507052.00 3507052.00 REPORT :- SUBJECT TO OUR SEPARATE FOR REPORT OF EVEN DATE ITA No.589(Asr)/2013 11 FOR SANJEEV AMAR & ASSOCIATES CHARTERED ACCOUNTANTS PLACE : MANSA (SANJEEV KUMAR) DATED : 22.06.2010 M. No. 500277

7.4. Lastly, the balance sheet as on 31.03.2011 as well as Income & Expenditure account for the period ending 31.03.2011 are reproduced as under: BALANCE SHEET AS ON 31.03.2011 LIABILITIES AMOUNT (Rs) ASSETS AMOAUNT General Funds Fixed Assets 1285660.00 O. Balance- 5192964.99 (Details Attached) Add : Tfd from 901085.93 Telephone Security 500.00 I & E A/C _____________6094050.92 Loan to Distt.Nazar 15000.00 Security from Computer 10000.00. SDM Budhlada. 3000.00 Supplier Salary Payable 114120.00 Stamp Paper and stamps 40147.00 PSEGS Payable 63697.00 TDS 45253.00 Ch. Issued not Presented 358996.00 NICI, Delhi 352000.00 S.B.O.P(Sweep in) 4807579.58 Bank Balances : SBOP, Mansa 3088.00 SBOP, Budhlada 8547.50 SBOP, Sardulgarh 3590.00 SBOP, (NCC) Mansa 75589.84 Cash in Hand 909.00 --------------- ---- -------

6640863.92 6640863.92 ---------------- ------------- REPORT :- SUBJECT TO OUR SEPARATE AUDITED FOR REPORT OF EVEN DATE FOR SANJEEV AMAR & ASSOCIATES CHARTERED ACCOUNTANTS PLACE : MANSA (SANJEEV KUMAR) DATED : 05.09.2011 M. No. 500277 ITA No.589(Asr)/2013 12 INCOME & EXPENDITURE ACCOUNT FORTHE PERIOLD ENDING ON 31.3.2011 Expenditure Amount Income Amount To Pb. State e-governance 478259.50 By Receipts 3132591.00 Society Chd. To Printing 154873.00 By Bank Interest 327855.43 To Salary 1413932.00 By Excess Deposit 1969.00 To Bank Exp. 350.00 By Excess credit bank 10.00 To Stationery 74842.00 To computer repair 67450.00 To Audit fee 7000.00 To electricity bill 62279.00 To Telephone 14659.00 To SMS Exp. 279.00 To Advertisement 13084.00 To Electric Repair 8806.00 To Travelling 12760.00 To Misc. Exp. 3135.00 To Depreciation 223130.00 To Income over Exp. 901085.93 ---------------------------

3462515.43. 3462515.43 REPORT :- SUBJECT TO OUR SEPARATE REPORT OF EVEN DATE FOR SANJEEV AMAR & ASSOCIATES CHARTERED ACCOUNTANTS PLACE : MANSA (SANJEEV KUMAR) DATED : 05.09.2011 M. No. 500277

7.5. After going through the aforesaid balance sheets as well as Income & Expenditure accounts of the assessee for the last three yeas, we have not found any expenditure incurred by the Society on charitable as well as public utility work. Almost all the expenditure has been incurred by the Society on printing and stationery, salary to their employees, Bank expenditure, Computer repair, Audit fee, Electricity Bill, Telephone, Electric repair, traveling, misc. expenditure, postage etc. ITA No.589(Asr)/2013 13

7.6. The present Society has filed an application to the Ld. CIT, Bathinda for registration. As per section 12AA of the Act, the Ld. CIT, Bathinda on receipt of an application for registration can call for such documents or information from the present society as he thinks necessary in order satisfy himself about the genuineness of the activities of the society and may also make such inquiries as he may deem necessary in this behalf. If the Ld. CIT, Bathinda is satisfied himself of the objects of the Trust of this Society and genuineness of its activities, he shall pass an order in writing registering the present society and if he is not satisfied then he shall pass order in writing refusing to register the Society after giving reasonable opportunity of being heard. In the present case also, the Ld. CIT, Bathnda referred the application of the Society to the ITO Ward 1(4), Mansa to verify the genuineness of activities of the present society and in compliance of the same, the AO vide his report dated 05.09.2011 has stated that the assessee has failed to produce books of account before him and in the absence of which, it is not possible to verify the genuineness of the activities of the present society and lastly the AO has not recommended the case of the assessee for registration u/s 12AA of the Act, through the Jt. CIT, Bathinda. After receiving the said report dated 05.09.2011 from the AO, the Ld. CIT, Bathinda fixed the case for hearing on 27.03.2011. After hearing the authorized representative of the assessee, the Ld. CIT examined the documentary evidence available with him and stated that the activities of the society are commercial in nature. He has also reproduced the same objects of the present society at pages 2 & 3 in para 3.1(i) to para 3(iii). For the sake of convenience, the objects of the society are reproduced hereunder: 3.1. The applicant society is registered with the Addl. Registrar of Societies, Mansa vide No. 44 of 22.03.2004.The aims and objectives of the societies are contained in Memorandum of Association of the society, a copy of which has been obtained and is placed on file. As many as 29 objectives have been mentioned in the list in para 4 under the title Objectives and functions of the society. Some of the objectives are such that activities of the society seem to be of commercial nature rather than of charitable nature. The objectives of such nature are as under: ITA No.589(Asr)/2013 14 (i) To workout and recommend the service fee or user charge that could be charged from the end customers for the approval of the competent authority and concerned departments/organizations over the above and the prescribed bill amount/fee/statutory fee for providing the services through Sukhmani Centres/Financial Institutions or Franchisees. (ii) To buy, sell, let on hire, lease, trade, import, repair or otherwise deal with IT resources, services & support on turkey basis like hardware, software, connectivity, networking, training, stationery, consumables etc. Including operational & managerial manpower, hiring of professionals, consultancy services by following the procedure prescribed. To ensure the other infrastructure requirements including site preparation and timely availability of the necessary resources for the various activities under the project. (iii) To establish and maintain any agencies and franchises in the district for the conduct of the business of the society. The Ld. CIT also perused the Income and Expenditure accounts, which we have reproduced hereinabove and finally concluded that the above facts clearly reveals that the activities of the Society are of commercial in nature aimed at deriving profit and not for charity.

7.7. We have also perused the Income & Expenditure accounts, which we have reproduced hereinabove as well as the impugned order alongwith relevant provisions of section 12AA of the Act and section 2(15) of the Act. For the sake of convenience, provisions of section 12AA and section 2(15) of the Act are reproduced as under:

Section 12AA.(1) The Commissioner, on receipt of an application for registration of a trust or institution made under clause (a) [ or clause (aa) of sub section(1) of section 12A, shall a) call for such documents or information from the trust or institution as he thinks necessary in order to satisfy himself about the genuineness of activities of the trust or institution and may also make such inquiries as he may deemed necessary in this behalf; and b) after satisfying himself about the objects of the trust or institution and the genuineness of its activities, he ITA No.589(Asr)/2013 15 i) shall pass an order in writing registering the trust or institution; ii) shall, if he is not so satisfied, pass an order in writing refusing to register the trust or institution, and copy of the such order shall be sent to the applicant.

Section 2(15): charitable purpose includes relief of the poor, education, medical relief, [preservation of environment (including watersheds, forests and wildlife) and preservation of monuments or places or objects of artistic or historic interest,] and the advancement of any other object of general public utility.

7.8. Keeping in view the aforesaid discussions as per records as well as per documentary evidence given by the assessee, we find that the main project was initiated by the Govt. of Punjab in the month of August, 2002 at Fatehgarh Sahib. It was inaugurated by the Chief Minister of Punjab on 31.10.2002. The project was founded by the Govt. of India, Department of Communication & Information Technology. The Govt. of Punjab has decided to implement this project in all Districts of Punjab alongwith SUWIDHA Back-end Services (SUBS) of the Deputy Commissioner Branches in December,

2004. The project replication started in all districts with technical support of NIC-District Centres. As of now, the project is being executed in all Deputy Commissioners offices. The appellant society is registered with the Additional Registrar of Societies, Mansa vide No.44 of 22.03.2004 and its aims and objects are contained in Memorandum of Association of the Society which we have already mentioned in the fore-going paragraphs. After perusing the objects of the Society, we find that the Ld. CIT, Bathinda, has reproduced some important objects of the Society in para 3.1 (pages 2 & 3) of the impugned order which shows that this society has been established for maintaining the agencies and franchises in the district for the conduct of the business of the society, which clearly establishes that the present society is doing business with other agencies and franchises in the district for the conduct of the business. We have not seen any object of the society which shows that the present society is doing any charitable activities for the general public utility. The Ld. CIT, Bathinda has also referred the matter to the ITO Ward 1(4), Mansa to verify the genuineness of the activities of the present society who vide his reported dated 05.09.2011 has stated that the assessee has ITA No.589(Asr)/2013 16 failed to produce books of account in the absence of which it is not possible to verify the genuineness of the activities of the society and the AO has not recommended the case of the assessee for registration u/s 12AA of the Act. Even otherwise, the assessee has failed to establish before the ld. CIT(A) that the society is doing any charitable work keeping in view its objects. Merely, mentioning about various objects in the nature of charitable activities in the Memorandum of Association, does not mean that the Society is doing any charitable activities for the general public utility and is entitled for registration under section 12AA of the Act. According to section 12AA of the Act, the Commissioner on receipt of application for registration of a trust or institution has to satisfy himself about the genuineness of activities of the trust or institution. In the present case, the Ld. CIT, Bathinda has made the inquiry from the concerned ITO, who has not recommended the case of the Society for registration . Even otherwise, the assessee has also failed to establish that the objects of the society are charitable in nature.

7.9. Keeping in view the aforesaid discussions, we are of the considered view that the activities of the assessee-society are not charitable in nature within the meaning of provisions of section 2(15) of the Act and it does not qualify to treat as charitable institution. Since the assessee has not established that its society is formed with objects of any charitable purpose, then the question of discussion of citations relied upon by the Society does not arise, even otherwise these judgments are different from the facts of present case and are not helpful the Society. The present society is doing its business and charging huge fees from the public which is in addition to the prescribed fee of the Punjab Govt. Even otherwise, the fees charged by the present society is in addition to the burden forced upon the common-man. Because of this service has to be rendered by the Punjab Govt. free of cost to the public against the fee prescribed in the chart as reproduced in the fore-going paragraphs. We are of the considered opinion that no interference is called for in the well reasoned order passed by the ld. CIT, Bathinda.. Therefore, we uphold the impugned order dated 26.09.2011 by dismissing the present appeal filed by the assessee-society.

8. In the result, the appeal filed by the assessee-society is dismissed. ITA No.589(Asr)/2013 17

7. In the facts and circumstances and as per findings hereinabove, we find no infirmity in the order of the ld. CIT(A), rejecting the application of the assessee-trust filed under section 12AA of the Act and the grounds of the assessee are dismissed.

8. In the result, the appeal filed by the assessee in ITA No.589(Asr)/2013 is dismissed. Order pronounced in the open court on 2nd September, 2014. Sd/- Sd/- (A.D.JAIN) (B.P. JAIN) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 2nd September, 2014 /SKR/ Copy of the order forwarded to:

1. The Assessee:M/s. Sukhmani Society for Citizen Services, Gurdaspur

2. The CIT-II, Amritsar.

3. The SR DR, ITAT, Amritsar. True copy By order (Assistant Registrar) Income Tax Appellate Tribunal, Amritsar Bench: Amritsar