TaxTMI 
TaxTMI 
2014 (5) TMI 328
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....irming the order of the Ld. CIT(A) allowing exemption u/s 10(23C)(iiiad) of the I.T. Act without appreciating that the assessee did not make any such claim at the time of assessment and the said exemption was allowed by the Ld. CIT(A) without affording the opportunity to the Assessing Officer of examining the admissibility of the said exemption at assessment stage. 2. Whether the Hon'ble ITAT has erred in law and on facts in holding that the assessee is entitled to the exemption u/s 10(23C)(iiiad) despite the fact that the assessee trust is not existing solely for educational purposes, which is the primary condition for exemption u/s 10(23C)(iiiad), but for non educational objects such as providing financial assistance for any class of....
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.... been granted specifically for the construction of a campus building to be specifically utilised for educational purposes. Since the entire receipts were below the ceiling of Rs.1 crore, the assessee was held entitled for exemption. This view of the CIT(A) has been confirmed in appeal by the Tribunal. Now at the outset, it would be necessary to note that in declining to grant an exemption under section 10(23C)(iiiad), the Assessing Officer has relied extensively on an order of the CIT-II, Agra dated 23 August 2011 rejecting the application of the assessee for the grant of registration under section 12AA. Admittedly, in an appeal filed by the assessee before this Court from the decision of the Tribunal confirming the view of the CIT-II, a D....
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....in holding that where a society is pursuing only educational objects and no activity is carried out, an application for approval under sub-clause (6) of section 10(23C) cannot be rejected on the ground that the object clause may contain several other objects apart from educational objects. The Tribunal held that there may be certain dormant objects which have never been pursued in reality by the assessee and the mere existence thereof in a Memorandum constituting the assessee would not be sufficient to decline an exemption. In determining as to whether the assessee is entitled to the benefit of clause (iiiad) of section 10(23C), the following requirements must be fulfilled: firstly the assessee should be a university or educational institu....