Sir/Madam,
An ITI institution neither registered u/s 12A nor approved by the CIT received Government grants. The money received from the Government was kept in a fixed deposit with a nationalised bank for the time sake. It received Rs. 21 lakhs as interest on such deposits in the previous year. Can the Institution claim exemption under section 10(23C) on such an interest income?
Please guide me in this case.
Thanks in advance.
Section 10(23C) iiiad provides the exemption to those educational institutions whose gross receipts is less than Rs. 1 Crore. These educational institutions are not required to be approved by the prescribed authority. So If the Gross receipts is not more than Rs. 1 Crore then income will be exempt.
Further to add, Bharat's post, it should be recognised by the competent authority.
Thanks
our client has a trust and want to run madarsa as a educational institution. is it possible to take the benefit of sec 10(23C),(iiiad) without any other registration under the income tax act?
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
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Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
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