University not wholly or substantially financed by govt not eligible for exemption u/s 10(23)(iiiab)

CA Saurabh Chokhra

Brief of the case:

i. The  Hon’ble Supreme court in the above cited case held that Visveswaraiah Technological University being not wholly or substantially financed by government is not entitled to claim exemption u/s 10(23)(iiiab).

ii. Further, the fees collected by the University as per prescribed govt. norms cannot be said to finance provided by govt.  Therefore, assistance by govt. by way of loans, grants and subsidies only to be considered as financing from it.

Facts of the case:

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