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TMI Blog2022 (5) TMI 1152X X X X Extracts X X X X X X X X Extracts X X X X ..... cational activities. There is admittedly nothing on record to demonstrate that the assessee has engaged in activities other than educational activities. The assessee trust has been registered since 1986. DR has stated that the revenue has not doubted the genuineness of the activities of the assessee trust. The assessee has placed on record the affidavits of trustees to the effect that the assessee trust has solely engaged in educational activities. We are the considered view that since the assessee trust only carried out educational activities, a fact which has also not been disputed by the Revenue, the Commissioner of Income Tax (Exemptions) has erred in fact and law in denying exemption under section 10(23C)(vi) of the Act to the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t from providing educational services, the assessee trust, as per the stated objectives in the trust deed, is also engaged in providing medical facilities, social welfare, Social Security and other general activities. Therefore, from perusal of above objects, the Commissioner of Income Tax (Exemptions) observed that assessee trust is not existing solely for educational purposes but also purposes other than educational as evident from the objects of the trust deed. The provisions of section 10(23C)(vi) is applicable only in case of university or other educational institution existing solely for educational purposes. Therefore, since the assessee had other non-educational objects as per the trust deed, the CIT(Exemptions) held that assessee h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee also submitted that he has placed on record the affidavit of the trustees to the effect that the assessee trust is solely existing for educational activities and the trust has not carried out any other object other than educational activities since inception. He further drew our attention to various case laws which have held merely because there are other objects of society mentioned in the trust deed, it does not mean that educational institution is not existing solely for educational purpose and registration under section 10(23C)(vi) of the Act cannot be denied. In response, Department Representative drew attention to language of section 10(23C)(vi) of the Act states any university or other educational institution existing solely fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onal activities, whether the Commissioner of Income Tax (Exemptions) has validly denied grant of exemption under section 10(23C)(vi) of the Act. 5.1. In the case of Dharmraj Kelvani Mandal v. CCIT in ITA 2913/Ahmedabad/2015, the ITA observed as under: 14. In the light of the above, if we examine the facts of the present case, then it would reveal that the assessee trust came to existence in 1954. It is running educational institutions. It has been registered under Section 12AA of the Act since 25.8.1998. It is also enjoying the exemption under section 80G. Thus, the department has never doubted about the genuineness of the activities of the trust and purpose of its existence. While rejecting the application of the Trust under section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rust deed of assessee trust provided that trust could carry on other businesses as decided by trustees, it would not per se disentitle trust from being considered for registration under section 10(23C)(vi) of the Act. 5.5. In the case of Neeraj Janhitkari Gramin Sewa Sansthan v. Chief Commissioner of income tax 49 taxman.com 535 (Allahabad), the High Court held that mere presence of objects in memorandum providing for other charitable activities would not disentitle a society to claim approval under section 10(23C)(vi) of the Act. 5.6. In light of the facts of the case and the judicial precedents cited above, we are of the considered view that the Commissioner of Income Tax (Exemptions), in the instant set of facts has not taken note ..... X X X X Extracts X X X X X X X X Extracts X X X X
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