https://www.taxtmi.com/caselaws?id=429297 For exemption under Section 10(23C), an educational institution must exist exclusively for educational purposes; the broader predominant-object test does not apply to such institutions. Incidental surplus is not fatal if it arises from education or education-related activities, but incidental business must be separately accounted for and remain ancillary to the educational object. The Commissioner may examine accounts and surrounding material at the approval stage to test genuineness and the income-expenditure pattern. Mandatory compliance with applicable State charity registration and regulatory requirements is a relevant factor in assessing eligibility and lawful functioning. The contrary view on the meaning of "solely" was disapproved, and the law was stated to operate prospectively. en-us Wed, 19 Oct 2022 00:00:00 +0530 Wed, 17 Dec 2025 11:02:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=429297 For exemption under Section 10(23C), an educational institution must exist exclusively for educational purposes; the broader predominant-object test does not apply to such institutions. Incidental surplus is not fatal if it arises from education or education-related activities, but incidental business must be separately accounted for and remain ancillary to the educational object. The Commissioner may examine accounts and surrounding material at the approval stage to test genuineness and the income-expenditure pattern. Mandatory compliance with applicable State charity registration and regulatory requirements is a relevant factor in assessing eligibility and lawful functioning. The contrary view on the meaning of "solely" was disapproved, and the law was stated to operate prospectively. Case-Laws Income Tax Wed, 19 Oct 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=429297