University established and adopted by Assembly of State and with the character of a body corporate as per the relevant Act, will fall within the definition of person in section 2(31)(vii).

The assessee was a university incorporated under the Haryana
Universities Act, 2006. As per the relevant Section of the Haryana Universities
Act, the assessee shall be a body corporate and shall have perpetual succession
and common seal. It shall have the power to sue and to be sued in its name.
However, it is not registered u/s.25 of the Companies Act and also not
registered under the Cooperative Societies Act. The assessee had applied for
registration u/s.12AA of the Act as a charitable institution.

The Ld. D.R. argued that, based on the facts, the university
was not a separate entity and was just an activity carried on by the sponsoring
body and therefore would not constitute a person u/s.2(31)(vii).

It was held by the Tribunal that the university established
and adopted by Assembly of State and with the character of a body corporate as
per the relevant Act, though not registered u/s.25 of the Companies Act or
though not registered under the Co-operative Societies Act, will fall within the
definition of person in section 2(31)(vii) i.e., an artificial juridical person.

The next question after being satisfied that the
assessee-university is person u/s.2(31)(vii) is whether it qualifies for
registration as a charitable institution u/s.12AA.

The Ld. A.R. argued that the assessee-university was engaged
in imparting education in the field of law and administration. Objects of the
assessee-university were primarily aimed at awarding diplomas and degrees
granting fellowships and scholarships.

The definition of charitable purpose which existed at the
relevant point of time was in an inclusive manner to include education as one of
the many activities. The Ld. A.R. also relied on the decision of the Supreme
Court in the case of Sole Trustee Loka Shikshana Trust, which restricted the
meaning of education to impart instruction, schooling and training to prepare
the youth for the works of life.

The Commissioner argued that the assessee university was
charging higher fees and was not meant for the benefit of people at large.

The University satisfied the condition of imparting education
and should be thus granted registration u/s.12AA. If the purpose is education,
the requirement will be fully satisfied even if an activity for profit is
carried on in the course of actual carrying out the primary purpose.