9911796707
TMI Blog2015 (8) TMI 466X X X X Extracts X X X X X X X X Extracts X X X X ..... respondent authority has filed an affidavitinreply, to which, a rejoinder has been filed by the petitioner. 2 The brief facts arise from the record are as under: 2.1 The petitioner - University has been established under the Gujarat Private Universities Act, 2009 in the year 2012, and accordingly, the name of the petitioner was entered into the Schedule of the Universities Act, 2009. 3 The present petitioner - University submitted a Form No.56D under Rule 2CA of the Income Tax Rules and requested the authority to grant exemption under Section 10 (23C) (vi) of the Act for the Assessment Year 20132014 and onwards. The Chief Commissioner of IncomeTax, after giving an opportunity of hearing to the petitioner - applicant, refused to grant exe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ccordance with the provisions of the Universities Act, 2009. He would submit that the case of the petitioner - University was under the provisions of Section 10 (23C) (vi) of the Act, and therefore, the authority ought not to have refused exemption to the petitioner - University. 6 He would submit that all these specific contentions were raised before the Chief Commissioner of IncomeTax, however, the respondent officer has dealt with the case of the petitioner - University on an extraneous consideration, and therefore, the impugned order is required to be quashed and set aside, and it may be held that the petitioner is entitled for exemption under Section 10(23C) (vi) of the Act. By taking us to the observations made in paragraphs 4 and 4. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t that Section 41 of the Universities Act, 2009 provides a procedure for winding up of the Private University. Wherein the State Government has all power to accept the case of the University, and, therefore, it cannot be said that the case of the petitioner - University does not fall under Section 10 (23C)(vi) of the Act. 7 In addition to the above submissions, by relying upon the decision of the Honourable Apex Court in the case of Queen's Educational Society v. Commissioner of IncomeTax reported in [2015] 372 ITR 699 (SC), Mr. Shah, learned advocate appearing for the petitioner would submit that if the object of the University is for imparting education to the students and if some profits are made would not necessarily establish that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ause 21 of the First Statutes of the University, and particularly Clauses 21(1) and 21(5), the admissions are granted to those students on merit basis or on the basis of means which shall be determined on economic condition or the situation of the students. These provisions are contrary to the provisions of the Universities Act, 2009. He would therefore submit that the authority has not committed any error in coming to the conclusion that the petitioner University has been established for profit, and therefore, the petition be dismissed. 9 We have heard the learned advocates appearing for the parties. 10 It is an undisputed fact that the petitioner - University has been established under the provisions of the Universities Act, 2009, and a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the powers of the State Government provided under Section 43 of the Universities Act, 2009. Section 43 of the Universities Act, 2009 empowers the State Government to take action against the Universities in certain circumstances. 12 Therefore, in our opinion, the impugned order requires to be quashed and set aside only on the ground referred hereinabove and accordingly, quashed and set aside. The matter is remanded to the Chief Commissioner of IncomeTax for a fresh consideration with regard to the application dated 21.11.2013 submitted by the petitioner - University for grant of certificate under Section 10(23C)(vi) of the Act, after giving an opportunity of hearing to the petitioner - University and after considering the relevant provisio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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