FEED NATION FOUNDATION,KANYAKUMARI V. CIT, EXEMPTIONS, CHENNAI

ITA 72/CHNY/2025

AI Insights

The case involves Feed National Foundation, a trust, which appealed against the decision of the Commissioner of Income Tax (Exemption), Chennai, who had rejected their application for registration under section 12AB of the Income Tax Act, 1961. The rejection was based on the grounds of non-compliance with notices, although the assessee argued that they had submitted a response within the stipulated time. The Tribunal found that the assessee was not given a fair opportunity to present their case and thus remitted the matter back to the CIT(E) for a fresh decision.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 107235 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2024-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R. CLEMENT RAMESH KUMAR
• Assessee Lawyers: M.S.PANDIAN; C.A
• Keywords: Set aside; Principle of natural justice

Judgement Text

"आयकर अपीलीय अिधकरण, ‘सी’ \u0011ा यपीठ, चे\u0016ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI \u0019ी एबी टी. वक , \u0011ा ियक सद! एवं \u0019ी जगदीश, लेखा सद! क े सम( BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.72/Chny/2025 िनधा8रण वष8 /Assessment Year: 2024-25 Feed National Foundation, No.17/125E, Punnaiyadi, Agateeswaram P.O., Nagercoil, Kanyakumari – 629 701. Vs. The Commissioner of Income Tax (Exemption), Chennai. [PAN: AAATF 7898M] (अपीलाथ\u0007/Appellant) (\b यथ\u0007/Respondent) अपीलाथ की ओर से/ Appellant by : Shri M.S. Pandian, C.A FGथ की ओर से /Respondent by : Shri R. Clement Ramesh Kumar, CIT सुनवाई की तारीख/Date of Hearing : 27.03.2025 घोषणा की तारीख /Date of Pronouncement : 17.04.2025 आदेश / O R D E R PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2024-25 arises out of the order of Learned Commissioner of Income Tax (Exemption), Chennai [hereinafter “CIT(E)”] dated 23.12.2024 in rejecting the application for registration filed in Form 10AB seeking registration u/s. 12AB of the Income Tax Act, 1961 (hereinafter “the Act”). ITA No.72/Chny/2025 :- 2 -: 2. The assessee is a Trust and filed online application on 04.06.2024 in Form-10AB under sub-clause(iii) of first proviso to Section 80G(5) of the Act. The Ld. CIT(E) has rejected the application for the reason that the assessee had failed to comply with the notices issued in spite of reasonable opportunities afforded. 3. The Ld. Authorized Representative (A.R) of the assessee has submitted that the assessee has uploaded the statement on 13.12.2024, in response to notice on 13.12.2024 though the due date was 17.12.2024, but the Hon’ble CIT(E) has not considered the same and held that the assessee has failed to comply with the notices. Hence, he prayed that one more opportunity may be granted in the interests of justice to substantiate its claim. 4. On the other hand, the Ld. Departmental Representative (DR), has relied on the orders of lower authorities. 5. We have heard the rival submissions, and perused the materials available on record. On perusal of the order of Ld. CIT(E), it is evident that the application in Form 10AB was rejected on the ground of non- compliance of the notices issued. The Ld. A.R has argued that the Ld. CIT(E) has rejected the application without considering the submission made within the stipulated date and therefore, requested that the case ITA No.72/Chny/2025 :- 3 -: may be remitted back to the Ld. CIT(E) for fresh adjudication. Considering the principles of natural justice, we are of the view that the assessee be provided with another opportunity of hearing to present its case before the Ld. CIT(E). Accordingly, we set aside the impugned order and remit the matter back to the file of the Ld. CIT(E) for fresh adjudication in accordance with law. We also direct the assessee to appear before the Ld. CIT(E) on the date of hearing without fail and furnish all relevant documents and information for fresh consideration. In view of the above, the appeal filed by the assessee is allowed for statistical purposes only. 6. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced on 17th April, 2025. Sd/- Sd/- (एबी टी. वक ) (ABY. T. Varkey) \u0011ाियक सद! / Judicial Member (जगदीश) (Jagadish) लेखा सद! /Accountant Member चे\u0010नई/Chennai, \u0013दनांक/Dated: 17th April, 2025. EDN/- ITA No.72/Chny/2025 :- 4 -: आदेश क\u0016 \bितिल\u0019प अ\u001aे\u0019षत/Copy to: 1. अपीलाथ\b/Appellant 2. थ\b/Respondent 3. आयकर आयु\u0010/CIT, Chennai 4. िवभागीय ितिनिध/DR 5. गाड\u0019 फाईल/GF "