In Brief
This case consolidated multiple civil appeals concerning tax exemption for educational institutions under Section 10(23-C) of the Income Tax Act, 1961. The Supreme Court clarified that educational institutions making surplus income do not automatically lose exemption if education remains the predominant purpose. However, tax authorities must continuously monitor whether institutions comply with exemption conditions. If institutions fail to meet statutory requirements or are not genuine, exemption must be immediately withdrawn. The Court followed precedent establishing that the ultimate test is whether the institution's overall purpose is education rather than profit-making.
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