TMI Blog2014 (2) TMI 182X X X X Extracts X X X X X X X X Extracts X X X X ..... e the order dated April 29, 2013, passed by the first respondent, Income-tax Officer (OSD) (Tech) purporting to act for the second respondent whereby the application moved by the petitioner filed under section 10(23C)(vi) for approval of the petitioner's institution as an educational institution existing solely for educational purposes and not for the purpose of profit has been rejected on the ground that the application for the year 2011-12 was belated whereas, for the assessment year 2012-13, it was premature. According to the petitioner, the order in question was wrong inasmuch as erroneous interpretation of the fourteenth proviso to section 10(23C) has been done in this case. The order passed by the first respondent, annexure P-1, is reproduced here as under : "Office of the Chief Commissioner of Income-tax, Indore. F. No. CCIT/Ind/Tech/10(23C)/149/2012-13, dated 29th April, 2013 To, The Secretary, Lokmanya Shikshan Samiti, Lokmanya Nagar, Indore. Subject : Your application for grant of exemption under section 10(23C)(vi) of the Income-tax Act, 1961, for the financial year 2010-11 relevant to the assessment year 2011-12-regarding-PAN : AAAT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sought'. No information relevant to the assessment year 2012-13 has been filed. On the contrary, against this column 10, you have categorically and specifically mentioned that 'Rs. 1,31,17,190.00 for the assessment year 2011-12 but the registration is not being filed in that year as there was no managing committee. The relevant documents showing dismissal of managing committee and appointment of administrator was done by the M. P. Government'. As also, the particulars and documents furnished with the said application are relevant to and in support of the period the financial year 2010-11 and not that of the financial year 2011-12. As such, your statement has no force and is considered to be given a false statement as an afterthought. (ii) The exemption under clause (vi) of section 10(23C) of the Income-tax Act is necessary where gross receipt of the society/institution exceeds Rs. 1 crore. The particulars disclosed by the applicant in the application relevant to the financial year 2010-11 reveals that the gross receipt of the society/institution during the said period (i.e., the financial year 2010-11) itself exceeded Rs. 1 crore. Obviously, the application so filed pertains to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessment year 2011-12 but the registration is not being filled in that year as there was no managing committee. The relevant documents showing dismissal of managing committee and appointment of administrator was done by the M. P. Government, the relevant papers are enclosed as annexure 5 A perusal of this paragraph clearly establishes that the application was not for the assessment year 2011-12 but was for the subsequent year. At this stage, it will be appropriate to take note of paragraph 3 of the writ petition which reads as under : "3. The petitioner submits that since the petitioner's annual receipts were less than the specified limit of Rs. 1 crore as prescribed for purpose of section 10(23C)(iiiad), the petitioner's earlier exemption continued to claim exemption for and up to the assessment year 2010-11, which stands allowed. However, since the petitioner's receipts for the assessment year 2012-13 exceeded the specified limit, the petitioner was required to make a fresh application for approval of the institution before the prescribed authority in accordance with section 10(23C)(vi) for the said assessment year 2012-13. The petitioner accordingly f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 10(23C)(vi) of the Income-tax Act, 1961, for the financial year 2010-11 relevant to the assessment year 2011-12-regarding-PAN : AAATL3505B. Please refer your application in Form No. 56D (under rule 2CA) dated March 28, 2012, for grant of exemption under section 10(23C)(vi) of the Income-tax Act, 1961, for the financial year 2010-11 relevant to the assessment year 2011-12 filed on April 11, 2012, with Commissioner of Income-tax-I, Indore, who has forwarded the same to this office on May 4, 2012. 2. As per the proviso to section 10(23C) which reads as : Provided also that in case the fund or trust or institution or any university or other educational institution or any hospital or other medical institution referred to in the first proviso makes an application on or after the 1st day of June, 2006, for the purposes of grant of exemption or continuance thereof, such application shall be made on or before the 30th day of September of the relevant assessment year from which the exemption is sought : Accordingly, application for grant of exemption under section 10(23C)(vi) of the Act for the assessment year 2011-12 can be filed only after April 1, 2011, but before ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... class 12th from July 1, 1996, and later on the school got the CBSE affiliation on May 17, 2009. The application pertains for the period of the financial year 2011-12 (assessment year 2012-13) and not for the period the financial year 2010-11 as per the proviso to section 10(23C), the application is to be filed before 30th September of the relevant assessment year. Since the application is for the financial year 2011-12 and subsequent years, it is to be filed on or before September 30, 2012. Thus, the application is within the statutory prescribed time period." From the aforesaid, it is clear that even though the application for exemption for the financial year 2012-13 was filed before September 30, 2013, even though technically it should have been filed after April 30, 2013, but it makes no difference inasmuch as the application reached before the competent authority within time, i.e., admittedly September 30, 2013. We have gone through the judgment relied upon by the respondents in the case of Roland Educational and Charitable Trust v. Chief CIT [2009] 309 ITR 50 (Orissa) wherein the judgment which has been discussed and decided by hon'ble Division Bench has only discussed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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