Deregulate large-scale philanthropy

The income tax department is reportedly insisting on provisions that require charitable institutions which have held equity in companies prior to 1973 to wind up such investments. The reason for the move is the belief in certain quarters that a charitable trust should not be able to misuse its tax-exempt status to control companies.   But that’s barking up the wrong tree. The question to ask is this: Should the issue be shareholding, its extent and, as a corollary, control over firms, or the purpose and performance these institutions demonstrate with such control? .....

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel
Key stories on business-standard.com are available to premium subscribers only.

Already a premium subscriber?

Subscribe to get an across device (Website, Mobile Web, Iphone, Ipad, and Android Phone applications) access to Premium content, Breaking News alerts, Industry Newsletters, Stock and Corporate news alerts, access to Archives and a lot more.