Allowing the petition the Court held that merely because surplus earned by assessee educational institution was used for expansion of school building etc., it could not be held that assessee did not exist solely for educational purpose. Accordingly the denial of exemption was held to be not justified .
Mallikarjun School Society v. CCIT (2018) 254 Taxman 170/ 166 DTR 338/ 304 CTR 887 (Uttarakhand )(HC)
S. 10(23C) : Educational institution – Merely on the ground that surplus of society was utilized for expansion of school building, exemption cannot be denied .[ S.10(23C)(vi) ]