G.H.R. Educational Foundation Vs CIT (ITAT Nagpur)
ITAT Nagpur held that rejecting application for registration u/s. 10(23C) of the Income Tax Act for the acts which have not yet been undertaken by the assessee is not justifiable. Such presupposition while evaluating application for registration under section 10(23C) is not proper and cannot be sustained.
Facts- The assessee was incorporated on 18/02/2024 u/s. 8 of the Companies Act with the main object “To convert existing Society “G.H.R. Education Foundation” as going concern u/s. 366 to 374 of Part-1, Chapter-XXI of the Companies Act, 2013 r/w with the Companies [ Authorised to be Register] Rules, 2014 as amended from time to time, on its incorporation under the Companies Act, 2013 to “G.H.R. Education Foundation”, a Section 8 Company, limited by guarantee and not having share capital under the Companies Act, 2013. The predecessor society was an approved educational institution u/s. 10(23C)(vi) of the Act having registration u/s. 80G of the Act.
Since the status of assessee changed from society to Section 8 Company, it had filed an application in Form no.56D, on 11/04/2008, seeking grant of fresh approval u/s. 10(23C)(vi) of the Income tax Act, 1961. CIT(E) held that the assessee is not found eligible for approval u/s. 10(23C)(vi) of the Act. Being aggrieved, the present appeal is filed.
