2006 (9) TMI 360

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....he Respondent. ORDER N.L. Kalra, Accountant Member. - The revenue has filed these appeals against the order of the Ld. CIT(A), Davangere dated 22nd September, 2001. 2. The only ground raised by the revenue is as under : "The Ld. CIT(A) erred in law in allowing the claim of the assessee stating that the assessee is covered under section 10(23C)( iiiab) and entitled to claim exemption un....

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....eived by the above institution for the assessment years 1999-2000 and 2000-01 is as under : Sl. No. Government Grant received Receipts from students and others(as reflected in Income & exp. a/c. Total Percentage of Govern- Ment Grant   Rs. Rs. Rs.   1999-2000 2,45,25,948 67,17,238 3,12,42,186 78.5% 2000-01 2,99,78,751 88,05,365 ....

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....IT(A). The word 'substantial' has not been defined in the Income-tax Act. The dictionary meaning of the word 'substantial' is 'considerable', 'for most part' and 'mainly'. Hence if considerable finance is provided by the Government then such a situation will be covered by section 10(23C)( iiiab) of the Income-tax Act. The worthy Supreme Court in the case of Santosh Hazari v. Purushottam Tiwari [20....

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....g Regulation Act, 1949, substantial interest under section 5(ne) has been defined to mean a beneficial interest of more than 10 per cent of the total capital subscribed by all the partners of the firm. Hence a partner will be having substantial interest in case he is having more than 10 per cent interest. Substantial interest has also been defined in Explanation to section 40A(2) of the Income-tax....