TaxTMI 
TaxTMI 
2016 (5) TMI 875
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....ression "education" in sec. 2(15) of the Act in the case of Loka Shikshan Trust [1975] 101 ITR 234 (SC). 2. The relevant facts of the case are that the assessee who is a society accorded registration u/s 12A vide letter No. DIT(Exemption)/2001-02/B-858/131 dated 29.5.2002 returned a NIL income supported by audit report in Form No. 10B, balance sheet, income and expenditure account with relevant schedules. 3. The main objects of the society are as under :- "3.1. To impart specialized training in the field travel & tourism to existing Travel & Tourism Industry personnel national & International levels. 3.2. To impart basic and advanced level training in the field of Travel & Tourism to young graduate and undergraduate aspirants to the Travel & Tourism Industry at the National & International Level. 3.3. To create potential new interpretation the Travel & Tourism Industry at the National & International level through extensive training covering specialized skills in the field of Marketing, Administration and Day to day operational Management. 3.4. To introduce training and update existing Travel & Tourism Industry professionals, New Entrants and Young Graduate as well as....
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.... for the aviation '1 learning sector providing students with industry wide knowledge and globally recognized qualifications. Every course being offered by BESTT is highly structured and has regular classes as per notified schedule. The courses are conducted through a regularly updated curriculum and there is a centralized examination system. These courses provide students with industry wide knowledge and globally recognized qualifications. This initiative of ITDI through its Authorised Centres in India has the support of Ministry of Civil Aviation. Copy of letter dated 21 st September 2010 from Ministry of Civil Aviation is attached herewith ..... "Certificate course in Travel & Tourism" is a course which is being conducted in conjunction with Miranda House, University of Delhi and has the approval of University Grant Commission .... "Computerized Reservation System" course is recognized by the New Delhi Young Men's Christian Association [YMCA] under its Human Potential development Programme. These courses are being offered to the YMCA sponsored students at a subsidized fee. "Tally" course is being offered by BESTT as an authorized Tally Academy ..... The Tally ....
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....t of denial of exemption u/s 11 & 12 the corpos donations in terms of the provisions of section 2(24)(iia) were held to attract taxability leading to the assessment being concluded at an income of Rs. 2,30,71,122/-. 4. Aggrieved, the assessee travelled in appeal before CIT(A) and submitted that the assessee in the year under consideration carried on the same activities as carried on in the earlier years namely the activities of providing vocational training in the field of travel and tourism by offering short term courses. Some of these short term courses it was submitted had been approved by International Air Transport Association (IATA) . These activities had been held to be charitable and hence eligible for exemption u/s 11 and 12 in the earlier assessment years. It was submitted that the vision of the assessee was to create a pool of young talent for travel and tourism industries by providing training to the students. Accordingly in furtherance of its aims it conducted customized Diploma programmes of one year duration and Certificate programmes of shorter duration aimed at providing not only techno managerial knowledge and skills, development of personality but also cross cul....
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....led a Remand Report which has been extracted in para 8 of the impugned order. A perusal of the same shows that apart from relying upon the decisions cited in the assessment order reliance was further placed upon the decision of the Supreme Court in the case of Distributors Baroda (P) Ltd. vs. Union of India & Others (1985) 155 ITR 120 (SC). The reference thereto is relevant in view of the facts that the assessee before the CIT(A) relying upon the assessment order itself has submitted that the registration granted to the assessee till date has not been withdrawn. The assessee it is seen is a society registered under the Societies Registration Act XXI of 1860 vide Registration No. S-33130 of 1998 dated 15th June 1998. It is also a fact that the assessee was granted registration u/s 12A of the Act vide order No. DIT(E)/2001-02/B- 858/131 dated 29th May, 2002 effective from 1st April, 2002. The ld.CIT(A) takes note of the fact that the 12A exemption has not been withdrawn by the DIT(E) till date a fact not upset by the Revenue before us. This fact is also acknowledged by the AO in his order at page 1 para 2. It is not the case of the Revenue that the activities of the society are found....
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....ded sense, travelling is education, because as a result of travelling you acquire fresh knowledge. Likewise, if you read newspapers and magazines, see pictures, visit art galleries, museums and zoos, you thereby add to your knowledge. Again, when you grow up and having dealings with other people, some of whom are not straight, you learn by experience and thus add to your knowledge of the ways of the world. If you are not careful, your wallet is liable to be stolen or you are liable to be cheated by some unscrupulous person. The thief who removes your wallet and the swindler who cheats you teach you a lesson and in the process make you wiser though poorer. If you visit a night club, you get acquainted with and add to your knowledge about some of the not much revealed realities and mysteries of life. All this in a way is education in the great school of life. But that is not the sense in which the word "education" is used in cl.(15) of section 2. What education connotes in that clause is the process of training and developing the knowledge, skill, mind and character of students by normal schooling." 9. The import and the context of the above observations of the Hon'ble Apex Court c....
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....dding to their knowledge the hidden mysteries of life, the Supreme Court has indicated that the word "education" is not used in a loose sense so as to include acquisition of even such knowledge. The observations of the Supreme Court only indicate the proper confines of the word "education" in the context of the provisions of section 2(15) of the Act. It will not be proper to construe these observations in a manner in which they are construed by the Tribunal when it infers from these observations, in para 17 of its judgment, that the word "education" is limited to schools, colleges and similar institutions and does not extend to any other media for such acquisition of knowledge. The observations of the Supreme Court do not confine the 1V0rd "education" only to scholastic instructions but other forms of education also are included in the word "education". As noticed above, the word "schooling" also means instructing or educating. It, therefore, cannot be said that the word "education" has been given an unduly restricted meaning by the Supreme Court in the said decision." 11. Reverting to the facts of the present case, the AO is found to have referred to the activities in the assess....
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.... fee procedure, course schedule, maintenance of attendance record, examination enrolment procedure, examination/re examination procedure, processing of results and award of certificates, etc. Further the applicant has also deployed an adequate pool of in-house and visiting professional faculty which imparts education to the students who have enrolled for courses. As an example it would be relevant here to highlight course programme and schedules of few of courses being carried on by the appellant. As regards Dangerous Goods Regulations Course the course content/set is prepared by Director General of Civil Aviation (DGCA), education and training i provided by the appellant, examination paper is approved by DGCA, examination is conducted by appellant. and the Diploma Certificate approved by DGCA is awarded by appellant to the successful candidates/students. As regards Certificate Course in Travel & Tourism in collaboration with Miranda House the course content is set Miranda House, education and training is provided by the appellant, examination paper is set by appellant, examination is conducted by appellant and the Diploma Certificate approved by Miranda House (College affiliated t....
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....of them being Grade 8 and above in western music. There is reference to scholarships that are open to the students including waiver of fees from 25% to 90%. It has been stated that several students of the school have gone on for higher musical studies to places like Moscow, London, New York, Prague and Rome. The schedule of fees effective from April, 2011 i also made part of the annexure. There are rules and regulations governing the running of the school which are also made part of the annexure. The main rules and regulations are that the school works for all seven days a week and remains closed only on national and public holidays; that the school year is divided into four terms of three months each; that students who are attending instrumental music classes would be taught individually by the teachers; that dance students would be taught in groups: that there would be workshops/lecture demonstrations arranged for the benefit of the students from time to time and that attendance in such workshops would be compulsory, that students who report late by more than 20 minutes may be marked absent and so on. There is also a rule that the students; who are irregular in attending the clas....
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....of the decision of the Hon'ble Calcutta High Court in the case of CT vs. Doon Foundation (1985) 154 ITR 208/22. The relevant extract supporting the view taken from the said decision is reproduced hereunder for ready reference. "10. We may refer to the judgment of the Calcutta High Court in CIT v. Doon Foundation [1985] 154 ITR 208/22 Taxman 9. Interpreting the provisions of Section 10(22) of the Act, the High Court observed as under:- "We are also unable to accept the contention of Mr. Maitra that an educational institution to be eligible for exemption under Section 10(22) should be affiliated to any university or any board. Section 10(22) does not impose such a condition. So long as the income is derived from an educational institution existing solely for educational purposes and not for purposes of profit such income is entitled to exemption under Section 10(22), whether or not-such educational institution is affiliated to any university or college or board If the contention of the Revenue is accepted. then many of the societies running institutions solely for imparting education would not get the benefit of Section 10(22). Education as envisaged in Section 10(22) may be imp....
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....' contemplated by section I0 (22) is a narrower concept. Though 'educational institution' and the educational activities are closely interconnected; in section 11 (1)(a), read with section 2(15) it is the activities which are in focus, whereas in section 10(22) both the institution and the activities are in focus A n educational institution under section 10(22) is, therefore, more than a body carrying on charitable activities in the field of education as contemplated by section 2(15) ." 17. We further find that the fact that exemption u/s 12A has not been withdrawn by DI (Exemption) as noted in the earlier part of this order is a fact which has not been upset as the assessee continues to enjoy exemption u/s 12A, a finding which has not been assailed by the Revenue. Accordingly, considering the decision of the ITAT in the case of Surat City Gymkhana vs. ACIT reported in 76 ITD 127 (Ahd.) which has been upheld by the Hon'ble Gujarat High Court and stands affirmed by the Hon'ble Apex Court in the case of ACIT vs. Surat City Gymkhana (SC), we find that it is also worth referring to at this juncture. Thus, reference to the following discussions from the order of ITAT in th....
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.... requires a certified copy of the instrument of its creation as well as two copies of the latest accounts of the applicant-trust or institution for as far as back as three years to accompany each application. The requirement of obtaining the details as also the copies of the past accounts cannot be said to be a ceremonial one. The purpose is to examine the objects of creation a' well as an empirical study of the past activities of the applicant for three years where the application is made belatedly so that the Commissioner could come to a conclusion on examination of all the factors that the applicant is really a charitable trust or institution eligible for registration. " Similar view has been taken by the Special Bench of the Tribunal in the case of Mrs. Dwarika Prasad Trust (supra) relied upon by the Id. counsel. The decisions of the Allahabad High Court in Fifth Generation Education Society's case (supra) and Calcutta High Court in CIT v. Ganapatra.Sagarmal [J990} 182 ITR 89 have taken similar view in the matter. In view of the aforesaid discussion, we feel that after allowing registration under section 12A it is not for the Assessing Officer to deny exemption under....