The industry bodies are however contesting the notices citing the remarks made by finance minister P Chidambaram while replying to the debate on Finance Bill 2008 in parliament. He assured the House that “genuine charitable organisations will not in any way be affected” by the
amendment and that the CBDT would issue an explanatory circular containing guideline for determining whether an entity is a genuine charitable organisation. He had further said, “Whether the purpose is a charitable purpose will depend on the totality of the facts of the case. Ordinarily, chambers of commerce and similar organisations rendering services to their members would not be affected by the amendment...“ However, the CBDT has since not issued any explanatory circular to clarify the matter. And the chambers and industry bodies who received notices from the I-T department are a worried lot.