M/s. Sethu Educational Trust, Madurai, approved for the purpose of section 10(23C)(vi) - 1227(E) - Income Tax

13 th March 2012 S.O. 1227(E) Name and Address of the assessee M/s. Sethu Educational Trust, 392, Anna Nagar, Madurai 625 020 PAN AABTS 7415C Order under section 10(23C)(vi) of the Income-tax Act, 1961 in consequence of the order of the Madurai Bench of Madras High Court in W. P. (MD) No. 8828 of 2011. In exercise of the powers conferred on me by virtue of sub-clause (vi) of clause (23C) of section 10 of the Income-tax Act, 1961 (43 of 1961), read with rule 2CA of the Income-tax Rules, 1962 , I, the Chief Commissioner of Income-tax, Madurai hereby accord approval to M/s. Sethu Educational Trust, Madurai, for the purpose of the said section for the assessment year 2010-11 subject to conditions, mentioned hereunder: 2(a) the activities of the assessee are genuine in accordance with the trust deed as well as in conformity with coverage of section 10(23C)(vi) and subject to the condition that the assessee will not engage in non-educational activities; (b) the assessee applies its income, or accumulates its income for application, wholly and exclusively, for the educational objects for which it is established and application of its income must be in accordance with third proviso to section 10(23C) of the Act; (c) the assessee will not charge any capitation fees for the courses conducted and strictly follow such guidelines prescribed by the Government from time to time in this regard ; (d) the assessee will not invest or deposit its funds (other than voluntary contributions received and maintained in the form of jewellery, furniture, etc.) for any period during the previous years relevant to the assessment years mentioned above otherwise than in anyone or more of the forms or modes specified in sub-section (5) of section 11 of the Income-tax Act, 1961 ; (e) this approval will not apply in relation to any income being profits and gains of business, unless the business is incidental to the attainment of the objectives of the trust and separate books of account are maintained in respect of such business ; (f) the assessee will regularly file its return of income before the income-tax authority in accordance with the provisions of the Income-tax Act, 1961 ; (g) that in the event of its dissolution, its surplus and assets will be given to an organisation which exists solely for similar purposes and not for purposes of profit and no part of the same will go directly to any of the beneficiaries of the institution or anybody specified in section 13(3) of the Income-tax Act, 1961 ; (h) the approval shall not apply in relation to anonymous donations in terms of the fifteenth proviso to section 10(23C) read with section 115BBC of the Act ; (i) the approval granted shall be subject to the provisions of proviso to section 143(3) . 3. The approval shall be void if it is subsequently found that it has been obtained by fraud or misappropriation of fact. This approval is given only for the purpose of section 10(23C)(vi) of the Income-tax Act, 1961 and not for any other purposes and the same is liable to be withdrawn if it is subsequently found that the activities of the assessee are not genuine or if they are not carried out in accordance with all or any of the conditions subject to which it was approved. [F. No. C. 2113/11/CC/MDU/Tech/2009-10]