https://www.taxtmi.com/caselaws?id=202973 HC held that the competent authority erred in rejecting the claim for exemption under Section 10(23C)(vi) on the ground that the educational institution had generated surplus income. Relying on SC and other HC precedents, it ruled that mere generation of surplus does not convert an educational institution into a profit-making entity if its predominant object remains education and the surplus is applied for educational purposes. The view that no quantitative surplus is permissible is legally untenable. The writ petition was allowed, the impugned order of the Chief Commissioner was set aside, and the matter was remitted for fresh consideration in accordance with law and the cited decisions. en-us Fri, 04 Feb 2011 00:00:00 +0530 Tue, 25 Nov 2025 15:53:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=202973 HC held that the competent authority erred in rejecting the claim for exemption under Section 10(23C)(vi) on the ground that the educational institution had generated surplus income. Relying on SC and other HC precedents, it ruled that mere generation of surplus does not convert an educational institution into a profit-making entity if its predominant object remains education and the surplus is applied for educational purposes. The view that no quantitative surplus is permissible is legally untenable. The writ petition was allowed, the impugned order of the Chief Commissioner was set aside, and the matter was remitted for fresh consideration in accordance with law and the cited decisions. Case-Laws Income Tax Fri, 04 Feb 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=202973