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Educational istitution-exemption section

Snehal (SERVICE) (48 Points)

28 October 2007

can anybody pls tell me

if a soc is formed under trust act who is running the school and earning profit from it. under what section the trust can claim the exemtion of the income earned.

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3 Replies

Aisha (Finance Professional) (8099 Points)
Replied 28 October 2007

i guess section 11 ...85% of income need to be reinvested in the same activity & 15% hve to be investment in specfieed securities

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Late CA Sampat Jain (Chartered Accountant) (4772 Points)
Replied 29 October 2007

EXEMPTE U/S 10(23) (iiiad) any university or other educational institution existing solely for educational purposes and not for purposes of profit if the aggregate annual receipts of such university or educational institution do not exceed the amount of annual receipts as may be prescribed26; or And [(vi) any university or other educational institution existin solely for educational purposes and not for purposes of profit, other than those mentioned in sub-clause (iiiab) or sub-clause (iiiad) and which may be approved by the prescribed authority;