The income tax department cancels the registration of six Tata trusts
NEW DELHI: The income tax department has canceled the registration of six Tata Trusts, including Jamsetji Tata Trust , R.D. Tata Trust & Tata Education Trust , after his decision to deliver the same.
The Tata Trusts said the cancellation was a culmination of the decision taken by these six Trusts in 2015 to surrender their registration & to not claim the associated income tax exemptions.
The other trusts are Tata Social Welfare Trust , Sarvajanik Seva Trust , & Navajbai Ratan Tata Trust.
"The decision to surrender the registration (an option available in law) was taken in the best interests of the Trust & to maximise the resources available to the Trust for their charitable work which is the principal object & focus of the Trusts," Tata Trusts said in a statement on Friday.
According to the statement, the Office of the Chief Commissioner of Income Tax, Mumbai, canceled by court order on Thursday the registration of the income tax of six companies of Tata Trusts.
"While the tax department's order has cancelled the Trusts' registration with immediate effect, we believe that as a matter of law & consistent with the department's own decision in the past, the cancellation should take effect from 2015, when the registrations were surrendered & the Trusts themselves consented to cancellation," it said.
The Trusts are examining the order & will take necessary next steps in accordance with the law & the Trusts have effective legal options to vindicate their grievances against the order both factually & legally, it said.
We would also like to clarify that the Trusts have not received any notice of demand from the income tax department in accordance with the cancellation order, as has been speculated in certain sections of the media. It is equally surprising how the issue of seizure of Trusts assets has been raised today, he said.
Since its inception in 1892, Tata Trusts, the oldest philanthropic organization in India, has played a pioneering role in making a lasting difference in the lives of the communities it serves, he said.