TMI Blog2017 (8) TMI 1531X X X X Extracts X X X X X X X X Extracts X X X X ..... college and educational institutions and made no adverse observation regarding genuineness of the objects or the activities carried on by the society then registration u/s 12AA could not be denied on the ground that it was entitled exemption under any other provision. In the case of CIT vs. Bosotto Brothers Limited 1939 (1) TMI 11 - MADRAS HIGH COURT] held that if a case appears to be governed by either of two provisions, it is clearly the right of the assessee to claim that he should be taxed under that one which leaves him with a lighter burden. Meaning thereby, if, exemption is available to the assessee in two or more sections then the choice is for the assessee under which section exemption has to be claimed. Society has been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on to an entity. On the aforesaid observation and conclusion, we are of the considered view that the assessee is entitled to get registration u/s 12A of the Act and hence, we direct the Ld. CIT(E) to grant registration to the assessee society. - Appeal filed by the assessee is allowed for statistical purposes. - I.T.A No.593/Asr/2016 - - - Dated:- 31-8-2017 - SH. T.S. KAPOOR, ACCOUNTANT MEMBER AND SH. N.K. CHOUDHRY, JUDICIAL MEMBER For the Appellant : Sh. Subhash Jain (Ld. C.A) For the Respondent : Sh. Rahul Dhawan (Ld. D.R) ORDER PER N.K. CHOUDHRY: The instant appeal has been filed by the assessee, by feeling aggrieved against the order dated 30th Sep., 2016 passed by the Ld. C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... applied registration u/s 10(23C). (ii) That the audit accounts reveal that over the period of time the emphasize of the society is mainly of the creation of assets rather than redeployment of funds towards education. The income and expenditure statements and balance sheet further indicate that during the Financial Year: 2014-15 and 2015-16, emphasized of the society has been mainly to add Car, Motorcycle and Scooter etc. (iii) The salary structure is pitiable low which leads to conclude that the applicant is just providing low quality of education and further nonproviding details of gross receipts which were specifically called indicates that society must be charging some funds which if disclosed could question mark the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee is not in doubt. The observation of the assessee CIT(E) is not correct to the extent that the assessee would have applied u/s 10(23C) of the Act instead of Sec.12A of the Act because the Apex Court as well as jurisdictional High Court clearly held that where the assessee trust running hospital or school and if both the options available before it i.e., either to apply for exemption u/s 10(23C) or claim exemption u/s 12AA of the Act therefore it is not justified to decline exemption u/s 12AA on the ground that it should have claimed exemption u/s 10(23C). It is settled law that for the purpose of granting registration u/s 12A, scope of powers of the Ld. CIT(E) is limited to be being satisfied about the objects and the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . In fact total receipts had been shown at ₹ 182,76,252/- during the F.Y. 2015-16, however, the value of the car, motorcycles and scooter were 2.30 lakh only, therefore, we are of the considered opinion that observation of the CIT(E) was not correct. Another observation of the CIT(E) was that the society is mainly emphasizing for creation of fixed assets rather than redeployment funds towards education. The Ld. AR drawn our attention regarding the receipts, the average annual fee for the F.Y.2015-16 charged by the assessee was at ₹ 16,525 per student for IIT B. Com students and ₹ 4,559 per students for B.CA Courses. Average annual fee for the F.Y.2015-16 was ₹ 34,157 per students only and the fee ..... X X X X Extracts X X X X X X X X Extracts X X X X
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