Dismissed

Sri Vedagirieswarar Education v. the Chief Commissioner of

Madras HC29 Jan 2018WP/13348/2011

Case brief

AI extract

What is this about?

The petitioner challenged the Income Tax authorities' refusal to grant approval under Section 10(23C) regarding an educational trust. The court dismissed the writ petition, holding that since the trust had multiple objectives beyond education, it did not qualify for the exemption, relying on precent.

What did the court decide?

The writ petition was dismissed and the impugned order was confirmed.

Sri Vedagirieswarar Education Vs the Chief Commissioner of — Income Tax | Madras HC (2018)

¶1

IN THE HIGH COURT OF JUDICATURE AT MADRAS

¶2

DATED : 29.01.2018 CORAM

¶3

THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM

¶4

Writ Petition No.13348 of 2011

¶5

and M.P.No. 1 of 2011

¶6

Sri Vedagirieswarar Education Trust Rep by its Managing Trustee Sri P.G.Jagadeesan Egai Village, Puliyur Post Thirukazukundram Chengalpattu - 603 109. ...Petitioner

¶7

Vs.

¶8

The Chief Commissioner of Income Tax-III No.121, Mahatma Gandhi Road

¶9

Nungambakkam, Chennai - 600 034. ... Respondent

¶10

Prayer : Petition filed under Article 226 of the Constitution of India, to issue a Writ of Certiorari Mandamus, calling for the proceedings in C.No.CC III/17/10/(23C)(vi)/ 10-11 dated 22.03.2011, on the file of the respondent and quashing the same and further direct the respondent to grant approval under Section 10(23C) of the Income Tax Act to the petitioner herein.

¶11

For Petitioner : Mr.M.P.Senthilkumar

¶12

For Respondent : Mr.J.Naveen Duraibabu

¶13

O R D E R

¶14

Heard Mr.M.P.Senthilkumar, learned counsel for the petitioner and Mr.J.Naveen Duraibabu, learned counsel appearing on behalf of the respondent.

¶15

2.The petitioner has filed this writ petition challenging the order dated 22.03.2011 passed by the respondent refusing to grant approval under Section 10(23C) (vi) of the Income Tax Act, 1961 (in short "the Act") in respect of their Educational Trust.

¶16

3.The application has been rejected on the ground that the petitioner's institution /Trust did not solely exist for educational purposes. The petitioner had amended the deed of Trust dated 24.12.1983 by executing a rectification deed dated

¶17

https://hcservices.ecourts.gov.in/hcservices/

¶18

31.03.1996. Even in the rectified deed, the objects other than the education objects were mentioned such as, establishment of creches, oldage homes, working women hostels in India and elsewhere.

¶19

4.Considering the objects of the Trust, the respondent rightly held that the Section 10(23C) (vi) of the Act envisages only such institutions which exist solely for educational purposes and not for other purposes including the objects of general public utility.

¶20

5.In this regard, it will be relevant to refer to a recent decision of this Court in the case of B.S.Abdur Rahman Institute of Science & Technology Vs. Chief Commissioner of Income Tax reported in (2016) 95 CCH 0092 ChenHC. Wherein an identical issue was considered and it was held that the writ petition was liable to be dismissed and the order passed by the Chief Commissioner of Income Tax liable to be confirmed. When the assessee had multiple objectives and did not exist solely for educational purpose and the amendment of the Memorandum and Articles of Association could only be prospective and the assessee did not qualify for exemption under Section 10(23C) (vi) of the Act for the relevant assessment year.

¶21

6.Thus, considering the factual position in the instant case and the law laid down in the afore mentioned decision, this Court has no hesitation to hold that there is no error in the impugned order. Accordingly, the writ petition fails and is dismissed. Consequently, connected miscellaneous petition is closed. No costs.

¶22

Sd/Assistant Registrar(CS IX)

¶23

//True Copy//

¶24

Sub Assistant Registrar

¶25

maya

¶26

¶27

The Chief Commissioner of Income Tax-III No.121, Mahatma Gandhi Road Nungambakkam, Chennai - 600 034.

¶28

+1cc to Mr.N.Muthukumar, Advocate, S.R.No.6864 +1cc to Mr.*, Advocate, S.R.No.6453

¶29

W.P. No.13348 of 2011 (CO) RRK(01/03/2018)

¶30

https://hcservices.ecourts.gov.in/hcservices/

Sri Vedagirieswarar Education v. the Chief Commissioner of

Case brief

What is this about?

What did the court decide?

Sri Vedagirieswarar Education v. the Chief Commissioner of

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Cases cited

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

J.Srinivasan, Vs The Assistant Commissioner of

United Agro Care (India) Pvt. Vs The Managing Director

Cascade Energy Pte Ltd, Vs Union of India

M/S.C 2 I Vs The Assistant/ Deputy

Tvl.S.v.K.Glass House, Vs The Assistant Commissioner

M/s.Nandi Marketing, Vs The Director General of