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2018 (1) TMI 1110 - HC - Income TaxComputation of deduction u/s 10(23C) - whether the aggregate annual receipts of the said two institutions are to be clubbed for the purposes of Section 10 (23C) (iiiad) or not? - Held that:- It is also not disputed that these two institutions exist solely for educational purposes and not for purposes of profit. It is, therefore, clear that there is a distinction between the expression “any person” and “educational institution”, and that the two are not the same. Had it been the intention of the legislature to have limited the scope of the provision to the interpretation which has been given by the Tribunal, it could easily have said that, if the aggregate annual receipts of any person from all institution(s) do not exceed ₹ 1.00 crore then the income derived there from would not be included in the total income of that person. But, this is not the case here. The reference here is pointedly to the “aggregate annual receipts” of the educational institution. The expression, “educational institution” and “any person” do not refer to the same entity and are distinct and different insofar as Section 10 (23C) (iiiad) of the said Act is concerned. Therefore, where there are more than one such institutions, which are under a particular society or trust, such as the assessee society in the present case, the aggregate annual receipts of each of the educational institutions would have to be considered separately and not together. As relying on M/S Children Education Society, (2013 (7) TMI 519 - KARNATAKA HIGH COURT) the aggregate annual receipts of other educational institutions means the total annual receipts of each educational institution, taken separately and not clubbed together. - Decided in favour of assessee
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