( Author )
20 January 2011
A Charitable Trust XYZ is Registered it runs a Reputed hospital on a land given by the govt for a very nominal amount on the condition that it will reserve 10% of the bed for poors
The Hospital Charges are very High it earns near 100 crore that clearly indicates that its not charitable purpose any more.as amended in the budget
"The 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 nature of trade, commerce or business."
So is this the Business Income of the Trust.
Secondly the Hospital Runs a Pharmacy Store which is a Trading Activity so i am pretty much sure it requires a separate disclosure in the Books ..are there any statutory requirement for this ,if yes please quote section..
I need the Answer ASAP
Thanking you
Ankur Mittal
CAclubindia
