S. D. Education Society Vs Chief Commissioner of Income Tax (Punjab And Haryana High Court)
The Punjab and Haryana High Court remanded pleas by educational institutions seeking income tax exemption under Section 10(23C)(vi) of the Income Tax Act, 1961, for reconsideration. The petitioner argued that it provides educational services and is not engaged in profit-making activities, and therefore qualifies for exemption. Earlier, the Chief Commissioner of Income Tax had rejected the exemption applications through orders dated 14.02.2011 and 22.02.2011. Both parties acknowledged that the Supreme Court, in its judgment dated 10.05.2016 in a series of appeals including CA No.95942 of 2013, addressed similar issues. The Supreme Court had examined earlier Punjab and Haryana High Court judgments, including in “Pinegrove International Charitable Trust Vs. Union of India” (2010) 327 ITR 73 (P&H). In light of the Supreme Court’s clarifications, the High Court directed the competent authority to reconsider the exemption applications, granting the petitioners an opportunity for a fresh hearing. The High Court emphasized that the authority should take into account relevant judgments of the Supreme Court and other courts while passing a fresh order. The matter was disposed of with the remand, and any pending applications were also closed.
FULL TEXT OF THE JUDGMENT/ORDER OF PUNJAB AND HARYANA HIGH COURT
