General Public Utility Meaning and Defination
General Public Utility Definition
In order to make a purpose charitable it is not necessary that is should be beneficial to the poor only. What is required is benefit to a section of the public as distinguished from specified individuals. An object of general public utility includes benefit to a section of the public and it is not necessary that the object should benefit the whole of mankind or all persons of that country or state. It would be sufficient if the intention is to benefit a definite and identifiable section of the public having a common quality as distinguished from a specified individual (Ahmedabad Rana Caste Association v. CIT [1071] 82 ITR 704, SC).
general public utility india
Based on various court decisions, following are the purposes of general public utility. The list is, however, not exhaustive.
i. Establishing chambers of commerce and industry, federations, registered societies and trade associations established with object of promoting trade, commerce and industry.
ii. All institutions incorporated without a profit motive, for any of the following objects:
a) For the improvement and promotion of agriculture and agriculturists.
b) For the improvement and advancement of scheduled caste and tribes (tribals).
c) For the welfare of the members of the police force and their families.
d) For promoting road safety.
e) For imparting technical education, setting up model industries and reducing unemployment in poor village folk.
iii. Institutions for promoting cottage/village industries, handicraftsman and teaching unemployed men arts, handicrafts, etc.
iv. Institutions to promote artistic principles, literature, fine arts, music, dance, etc.
v. Institutions owing auditoriums, memorial halls for culture activities, ‘wadis’, dharamshalas, gaushalas and sanatoriums which are let out for rent while their primary objects are charitable.
vi. Foundation for the development of a botanical garden or natural beauty and for carrying on literary and cultural activities.
vii. Institutions for preservation of places of historic interest, like setting up and maintenance of museum, library, etc.
viii. Research institutions
ix. Institutions for the promotion of cricket or other sports amongst the public.
In order to make a purpose charitable it is not necessary that is should be beneficial to the poor only. What is required is benefit to a section of the public as distinguished from specified individuals. An object of general public utility includes benefit to a section of the public and it is not necessary that the object should benefit the whole of mankind or all persons of that country or state. It would be sufficient if the intention is to benefit a definite and identifiable section of the public having a common quality as distinguished from a specified individual (Ahmedabad Rana Caste Association v. CIT [1071] 82 ITR 704, SC).
general public utility india
Based on various court decisions, following are the purposes of general public utility. The list is, however, not exhaustive.
i. Establishing chambers of commerce and industry, federations, registered societies and trade associations established with object of promoting trade, commerce and industry.
ii. All institutions incorporated without a profit motive, for any of the following objects:
a) For the improvement and promotion of agriculture and agriculturists.
b) For the improvement and advancement of scheduled caste and tribes (tribals).
c) For the welfare of the members of the police force and their families.
d) For promoting road safety.
e) For imparting technical education, setting up model industries and reducing unemployment in poor village folk.
iii. Institutions for promoting cottage/village industries, handicraftsman and teaching unemployed men arts, handicrafts, etc.
iv. Institutions to promote artistic principles, literature, fine arts, music, dance, etc.
v. Institutions owing auditoriums, memorial halls for culture activities, ‘wadis’, dharamshalas, gaushalas and sanatoriums which are let out for rent while their primary objects are charitable.
vi. Foundation for the development of a botanical garden or natural beauty and for carrying on literary and cultural activities.
vii. Institutions for preservation of places of historic interest, like setting up and maintenance of museum, library, etc.
viii. Research institutions
ix. Institutions for the promotion of cricket or other sports amongst the public.
Related listings
-
Amendment in the Definition of Charitable purposeAn amendment has been made in section 2 (15) by the Finance Act, 2008 with effect from 01.04.2009 that advancement of any other object of general public utility shall not be a charitable purpose, if it involves the carrying on of any activity in the ...
-
Central & State Laws applicable to NGO’s in IndiaWho Can Form an NGO in India ?Any person competent to contract, be an individual, a body of individuals or an artificial person such as an association of persons, an institution, a limited company, a Hindu undivided family through its karta, can form...
-
NGO Registration and Formation in India1. FORMS OF ORGANISATIONA non governmental organization (NGO) may be formed and registered as-i. Trust: As a public charitable trust. A public trust, whether relating to movable or immovable property, may be created by mere delivery of possession wit...
-
NGO Trust Formation in India 2014What is a Trust ?A trust is a convenient method whereby a limited number of persons may hold property on behalf of other persons, who may be a large or fluctuating body or who may include persons not yet born. Once the property has been vested in the...
-
Trust Deed Format India Sample 2014A trust may be created by any language sufficient to show the intention and no technical words are necessary.sample deed ngo trust 2014A trust-deed, generally, incorporates the following:i. the name (s) of the author(s)/settler(s) of the trust;ii. th...
-
Procedure for Registration of Trust under the Indian Trusts Act 1882A trust can be formed as per Section 4 of Indian Trust Act 1882 for a lawful purpose;A trust should have a document written and signed by trustees or a sole trustee;1. Before you register your trust you will need to decide the following:a) Name of th...
Feedback / Rewiews
Leave your comment (spam and offensive messages will be removed)