COMMISSIONER OF INCOME TAX Vs. TRUCK OPERATORS ASSOCIATION

JUDGEMENT

(1.) Whether the Respondent-truck operators association is entitled to registration under Section 12AA of the Income Tax Act, 1961 (in short "the Act"), is the short question which requires adjudication in this appeal filed by the revenue.

(2.) The appeal was admitted by this Court on 1-10-2007 for determination of the following substantial question of law:

(3.) Briefly stated, the facts of the case are that on 27-12-2001, the Assessee-M/s. Truck Operators Association filed an application in Form 10A for registration of the society under Section 12AA of the Act along with certificate of registration granted by the Registrar of Societies and a copy of memorandum and by-laws of the society. The matter was examined by the Income Tax Officer, Hissar who after providing an opportunity of hearing to the Assessee submitted his report dated 4-4-2002. The Commissioner of Income-tax (in short "the CIT") rejected the application holding that the association was not formed for advancement of object of general public utility within the meaning of Section 2(15) of the Act. It was noticed that the aims and salient features of the activities carried on by the association are as under: