Facts of the case:
- The Assessee educational society filed an application for grant of registration under section 10(23C)(vi).
- Commissioner (Exemptions) denied same on ground that there was no evidence that assessee had utilised its income for educational purpose.
- The assessee further appealed to the Income Tax Appellate Tribunal. The Tribunal after examining records found that during relevant assessment year, assessee had utilised its income for purchase of land for further extension of school building and thus, assessee was held to be covered within provisions of
section 10(23C)(vi). - Aggreived by the order of ITAT, the revenue approached High Court, which by it impugned order held that since amount of receipt during relevant assessment year exceeded more than 1 crore and assessee had utilized same amount for purchase of land for further extension of school building, which was for educational purpose only, exemption under section 10(23C)(vi) could not be denied.
- Going further, the Revenue filed a petition with the Supreme Court. Judgement: As the appeal of Revenue is without merit, the Special Leave Petition filed against impugned order was dismissed by the Supreme Court.
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