2011 (9) TMI 77 - DELHI HIGH COURT

Approval u/s 10(23C)(iv) for the assessment years 2006-07, 2007-08, 2008-09 and 2009-10 and onwards - An institution will not be regarded as established for charitable purpose/activity under the last limb, if cess, fee or consideration is received for carrying on any activity in nature of trade, commerce or business or for any activity of rendering of any service in relation to any trade, commerce or business, even if the consideration or the money received is used in furtherance of the charitable purposes/activities - It is not a commercial or business income and no part of the surplus is being utilized for the purposes other than the purposes specified in the Chartered Accountants Act - the order under Section 10(23C)(iv) of the Act which casts an onus both on the assessee and the department to reach a fair and just conclusion

ICAI Accounting Research Foundation (ICAI-ARF, for short) has been incorporated by the petitioner institute with an objective to impart training, to promote knowledge, learning and education, and to understand various fields relating to the profession of accountancy - It is pointed out that the Executive Committee of the petitioner institute had considered the proposal for formation of ICAI University in February, 2004 and felt the need for formation of the said university - writ petition is allowed by way of direction to reconsider the application filed by the petitioner institute under Section 10(23C)(iv) of the Act