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2019 (12) TMI 700 - HC - Income TaxExemption u/s 11 - charitable activity u/s 2(15) - ITAT directing the registration to be accorded instead of reverting it back for re-examination - HELD THAT:- Tribunal found that even if this anomaly was there in accounting yet this could be easily corrected and that the provision of Section 10(23C)(iiiad) and 12AA of the Act operate in different fields as held by this Court in the case of CIT vs. Appejay Education Society [2015 (4) TMI 303 - PUNJAB & HARYANA HIGH COURT] The Tribunal further held that the Commissioner had wrongly noticed that the no details of fee being charged have been supplied whereas all the details have been supplied. Tribunal also faulted the Commission for coming to the conclusion that the salary structure which was put in place by the respondent was not as per the salary structure of CBSE and at such low salaries good education could not be given. Tribunal correctly held that this was not the job of the Commissioner to comment on the quality of education and found that in the kind of area where the school was located, and the kind of fee it could generate, and the salaries which were paid, were proportionate. Apart from this anomaly in the accounting of the money, the Commissioner has not held that the respondent was either diverting any money or was generating any cash income (beyond that which has been prescribed in the prospectus) or any other thing which would impinge on its character as a charitable institution. No fault can be found with the findings of the Tribunal.
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