A society registered under society act is running a educational institution.It is not yet registered under Sec 12A of Income tax act. In f y 2020-21 its revenue fee receipts from school are less than 1cr and after claiming all revenue expenses and depreciation there is loss in income and expendture account.It has received corpus donations worth Rs. 6 cr for builing and 90% of its corpus donations has been utilised for construction of school building.
Whether society can claim exemption u/s 10(23)(c) as its revenue receipts are less than 1cr.Whether whole of corpus received will be exempted .Which ITR FORM it is required to file ITR 7 OR ITR 5.
CA Arvinder Pal Singh
For claiming exemption either under S.12A or S.10(23A), society should have registration under these very clauses.