GURUVAYUR DEVASWOM COMMITTEE Vs. INCOME-TAX OFFICER TRICHUR

JUDGEMENT

(1.) The Guruvayoor temple is a famous shrine belonging to the Hindu denomination, attracting pilgrims from all over India. The temple has income from extensive properties possessed by it and also income by way of grant from the Government. Besides this, amounts realised by way of fines, penalties imposed and recoveries made under the Guruvayoor Devaswom Act also go to augment the income of the temple. The Devaswom also receives substantial amounts by way of offerings and contributions from members of the denomination, from local authorities and other institutions. Till recently the Zamorin Raja of Calicut was in management of the temple properties and the endowments. But from 9-3-1971 the temple is being managed by the Guruvayoor Devaswom Managing Committee under the Guruvayoor Devaswom Act, 1971.

(2.) It is said that the Devaswom was not in receipt of any category of income which obliged it to submit returns under the Income Tax Act 1961 and it was not, therefore, submitting returns. But when the Finance Act 1972 came into force the Devaswom was called upon to file such return and that is said to have been on the basis of the amended definition of 'income' in S.2(24)(iia) of the Income Tax Act. S.2(24) of the Income Tax Act defines income as including profits, gains, dividends etc. Clause.(iia) was introduced in the sub-section by the Finance Act and that reads:

(3.) Every religious denomination can claim protection in respect of the four matters mentioned in Art.26 of the Constitution of India. Clauses (a) and (b) of Art.26 deal with the rights of a religious nature, namely the right to establish and maintain institutions for religious and charitable purposes and administer its own affairs in matters of religion. The only restriction is that this right is subject to public order, morality and health. This is otherwise not liable to be restricted even by laws made by the legislatures of the country. This Article envisages also rights of a secular nature referred to in clauses (c) and (d) of the Article and they are the right to own and acquire movable and immoveable property and the right to administer such property in accordance with law. That these rights are subject to the law of this country is indicated by the expression 'in accordance with law' and the Full Bench of this Court in Narayanan Nair v. State of Kerala ( 1970 KLT 659 ) held that the words "in accordance with law" occurring at the end of clause (d) qualifies not only that clause but clause (c) too. Therefore the right to own and acquire movable and immoveable properties and the right to administer such properties are subject to the law made by competent legislature.