Profits from Kuri Business Held Under Trust Eligible for Exemption u/s 11 of ITA: ITAT

Profits from Kuri business (chit fund equivalent) held under a trust are eligible for exemption under Section 11 of the Income Tax Act, ruled the ITAT. The tribunal determined that if a Kuri business is operated by a trust registered for charitable or religious purposes, its income can be exempt, provided the profits are applied towards the trust's objectives. This decision provides clarity on the tax treatment of income from traditional financial schemes managed by trusts. It ensures that legitimate charitable activities are not unduly taxed, fostering philanthropic endeavors.