TMI Blog2012 (7) TMI 989X X X X Extracts X X X X X X X X Extracts X X X X ..... he absence of registration u/s 12AA of the Income-tax Act whereby the assessment was concluded in the status of AOP . ii) The learned CIT(A) erred in holding that the assessee is eligible for exemption u/s 10(23C)(iiiab) even though no claim for exemption was made. iii) The learned CIT(A) erred in holding that the assessee is eligible for exemption u/s 10(23C)(iiiab) without appreciating the fact the society is not an university or educational institution existing solely for educational purposes. iv) The CIT(A) erred in not appreciating the fact that the activities carried out by society cannot be said that the society exists solely for education purpose. The activities carried out by the society have no co-relation to ed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r 2007-08. The AO found that the assessee was not registered u/s 12AA of the Act and hence exemption u/s 11 was not available to the assessee and accordingly the AO treated the amount as the income of the assessee and completed the assessment. Aggrieved, the assessee moved the matter in appeal before the first appellate authority. 4. Before the first appellate authority, the assessee argued that it is a society established by the Government of Karnataka for education purposes and hence it is entitled for exemption u/s 10(23C)(iiiab) of the Act. The CIT(A) found that clause (iiiab) of sec.10(23C) exempts the income received by any university or other educational institution existing solely for educational purposes and not for purposes of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion is entitled for exemption u/s 10(23C)(iiiab) of the Act. The CIT(A) also found that the assessee did not divert the unspent amount for any other purposes and only carried over to the next year for carrying out its main activity of printing of textbooks. Therefore, the CIT(A) held that the assessee is entitled for exemption u/s 10(23)(iiiab) of the Act and deleted the addition made by the AO. 5. Now, the Revenue is aggrieved and is on appeal before us with the grounds of appeal extracted elsewhere of this order. At the time of hearing, learned Departmental Representative reiterated the grounds of appeals as his submissions. He also relied on the decision of the Apex Court in the case of Oxford University Press vs. CIT (247 ITR 658)(S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntral Board of Direct Taxes had granted similar exemption by letter dated August 19, 1975 to the Tamil Nadu Text Books Society which performed activities similar to those of the assessee; and the Central Government had by letter dated July 9, 1973, stated that all State-controlled Educational Committees/Boards had been constituted to implement the educational policy of the States and consequently they should be treated as educational institutions. Hence, following the Apex Court decision cited supra and also the decision of the Patna High Court in the case of Bihar State Text Book Publishing Corporation vs. CIT (2011) 10 Taxman.com 267 (Pat.), we hold that the assessee is to be treated as educational institution. Once it is treated as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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