India - Income Tax Act 2010 - Saarc

1.81 CH. III - INCOMES WHICH DO NOT FORM PART OF TOTAL INCOME S. 10(23C)grant of the exemption, or continuance thereof, under sub-clause (iv)or sub-clause (v) 62 [or sub-clause (vi) or sub-clause (via)] :63[Provided further that the prescribed authority, before approvingany fund or trust or institution or any university or other educationalinstitution or any hospital or other medical institution, under subclause(iv) or sub-clause (v) or sub-clause (vi) or sub-clause (via), maycall for such documents (including audited annual accounts) orinformation from the fund or trust or institution or any university orother educational institution or any hospital or other medical institution,as the case may be, as it thinks necessary in order to satisfy itselfabout the genuineness of the activities of such fund or trust orinstitution or any university or other educational institution or anyhospital or other medical institution, as the case may be, and theprescribed authority may also make such inquiries as it deemsnecessary in this behalf:]Provided also that the fund or trust or institution 64 [or any universityor other educational institution 65 or any hospital or other medicalinstitution] referred to in sub-clause (iv) or sub-clause (v) 64 [or subclause(vi) or sub-clause (via)]—66[(a) applies its income, or accumulates it for application, whollyand exclusively to the objects for which it is established andin a case where more than fifteen per cent of its income isaccumulated on or after the 1st day of April, 2002, the periodof the accumulation of the amount exceeding fifteen per centof its income shall in no case exceed five years; and]62. Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-4-1999.63. Substituted by the Finance Act, 2007, w.e.f. 1-6-2007. Prior to its substitution, the secondproviso, as amended by the Finance (No. 2) Act, 1998, w.e.f. 1-4-1999 and later onsubstituted by the Finance Act, 1999, w.e.f. 1-4-1999, read as under :“Provided further that the Central Government, before notifying the fund or trust orinstitution, or the prescribed authority, before approving any university or other educationalinstitution or any hospital or other medical institution, under sub-clause (iv) or subclause(v) or sub-clause (vi) or sub-clause (via), may call for such documents (includingaudited annual accounts) or information from the fund or trust or institution or anyuniversity or other educational institution or any hospital or other medical institution, asthe case may be, as it thinks necessary in order to satisfy itself about the genuineness ofthe activities of the fund or trust or institution or any university or other educationalinstitution or any hospital or other medical institution, as the case may be, and the CentralGovernment or the prescribed authority, as the case may be, may also make such inquiriesas it deems necessary in this behalf :”64. Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-4-1999.65. For the meaning of the expression “other educational institution”, see Taxmann’s DirectTaxes Manual, Vol. 3.66. Substituted by the Finance Act, 2002, w.e.f. 1-4-2003. Prior to its substitution, clause (a),as amended by the Finance Act, 2001, w.e.f. 1-4-2002, read as under :“(a) applies its income, or accumulates it for application, wholly and exclusively to theobjects for which it is established and in a case where more than twenty-five percent of its income is accumulated on or after the 1st day of April, 2001, the periodof the accumulation of the amount exceeding twenty-five per cent of its incomeshall in no case exceed five years; and”