TMI Blog2006 (9) TMI 360X X X X Extracts X X X X X X X X Extracts X X X X ..... er. - The revenue has filed these appeals against the order of the Ld. CIT(A), Davangere dated 22nd September, 2001. 2. The only ground raised by the revenue is as under : "The Ld. CIT(A) erred in law in allowing the claim of the assessee stating that the assessee is covered under section 10( 23C )( iiiab ) and entitled to claim exemption under the said section for the following reasons : ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessment years 1999-2000 and 2000-01 is as under : Sl. No. Government Grant received Receipts from students and others(as reflected in Income exp. a/c. Total Percentage of Govern- Ment Grant Rs. Rs. Rs. 1999-2000 2,45,25,948 67,17,238 3,12,42,186 78.5% 2000-01 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e treated as substantially financed as held by the Ld.CIT(A). The word substantial has not been defined in the Income-tax Act. The dictionary meaning of the word substantial is considerable , for most part and mainly . Hence if considerable finance is provided by the Government then such a situation will be covered by section 10( 23C )( iiiab ) of the Income-tax Act. The worthy Supreme Co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... far as practicable or as far as possible . 4. In the Banking Regulation Act, 1949, substantial interest under section 5( ne ) has been defined to mean a beneficial interest of more than 10 per cent of the total capital subscribed by all the partners of the firm. Hence a partner will be having substantial interest in case he is having more than 10 per cent interest. Substantial interest has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 67.17 lakhs while Government grants were to the extent of Rs. 245.25 lakhs. Thus the revenue deficit has been considerably met by the Government. Looking to the quantum of Government grant received in the instant case for the assessment years under consideration, we feel that the Ld. CIT(A) was justified in holding that the Educational Institution under consideration has been substantially finance ..... X X X X Extracts X X X X X X X X Extracts X X X X
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