Director Of Income Tax vs Andhra Educational Society
2005 Latest Caselaw 593 Del

ORDER

1. We have heard learned Counsel for the appellant at some length. Challenge in this appeal under Section 260A of the IT Act is to the order of the Tribunal, dt. 19th July, 2004. The relevant finding recorded by the Tribunal reads as under :

"Shri R.R. Prasad appeared for the Department. He relied on the orders of the AO. Shri B.L. Goyal, Chartered Accountant, appeared for the assessed. He pointed out that the assessed's society was running several schools in the last 40-50 years. He argued that under the Delhi School Education Act, the educational society would take donations as the development fund as long as they kept separate account for the same. These donations could be spent for construction of a building, etc. Since the Government gave only grant of 9.5 per cent of the teacher's salary, the society in order to meet other expenditure and construct building took donations from members of the public including parents whose children were studying in the school. He also relied on the order of the CIT(A).

6. We have examined the rival submissions. The assessed-society had applied the entire funds for educational purposes in accordance with the objects of the society. The assessed is entitled to take donation for development and building fund and apply the same towards the objects of the society is entitled to exemptions under Section 10(22) of the IT Act. Accordingly, we confirm the order of the CIT(A) and dismiss the Department's appeal."

2. The above findings are primarily findings of fact and do not raise any question of law much less substantial question of law. The approach of the Tribunal is in no way in conflict with any settled principle of law. No judgment has been brought to our notice contrary to the view taken by the Tribunal. Dismissed.