Kamal Foundation, Visakhapatnam V. The Commissioner of Income Tax(Exemption), , Hyderabad

ITA 127/VIZ/2021

• Counselvise Citation: [2022] 106 COUNSELVISE.COM (IT) 7535 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 11 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-06-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2018-2019
• Appeal Filed On: 07-07-2021
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: MURTHY NAIK
• Section: 12A

Judgement Text

आयकर अपीऱीयअधिकरण, विशाखापटणम पीठ, विशाखापटणम IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM श्री द ु व्ि ू रु आर एऱ रेड्डी, न्याययक सदस्य एिं श्री एस बाऱाक ृ ष्णन, ऱेखा सदस्य के समक्ष BEFORE SHRI DUVVURU RL REDDY, HON’BLE JUDICIAL MEMBER & SHRI S BALAKRISHNAN, HON’BLE ACCOUNTANT MEMBER आयकर अऩीऱ सं./ I.T.A. No.127/Viz/2021 (ननधधारण वषा / Assessment Year : NA) M/s. Kamal Foundation, Visakhapatnam. PAN: AADTK 2390 N Vs. Commissioner of Income Tax (Exemption), Hyderabad. (अऩीऱधथी/ Appellant) (प्रत्यथी/ Respondent) अऩीऱधथी की ओर से/ Appellant by : None प्रत्यधथी की ओर से / Respondent by : Sri Murthy Naik, CIT-DR स ु नवधई की तधरीख / Date of Hearing : 31/05/2022 घोषणध की तधरीख/Date of Pronouncement : 14/06/2022 O R D E R PER S. BALAKRISHNAN, Accountant Member : This appeal filed by the assessee against the against the order of the Ld. CIT(Exemptions), Hyderabad vide DIN & Order No. ITBA/EXM/S/EXM1/2020-21/1031844609(1), dated 28/03/2021 passed U/s. 12AA(1)(b)(ii) of the IT Act, 1961. 2. In this appeal, there is a delay of 42 days in filing the instant appeals before the Tribunal. The assessee has filed 2 condonation petition. In this regard, as per the decision of the Hon’ble Supreme Court in SMW(A) No.3 of 2020, the period of limitation for filing the appeals under general laws and all special laws falling between 15/3/2020 and 28/02/2022 shall be excluded for calculating the delay. Considering the same, we hereby condone the delay of 42 days in filing the present appeal before the Tribunal and proceed to adjudicate the cases on merits. 3. Brief facts of the case are that the assessee is a charitable institution filed Form-10A seeking registration U/s. 12A of the Act on 29/06/2020. Consequent to the notice issued to submit various documents, the assessee through online had filed certain documentary information required by the Ld. CIT(E) on 29/09/2020 and 30/09/2020. The Ld. CIT(E) after verifying the submissions made by the assessee, rejected the registration U/s. 12AA of the Act. Aggrieved by the order of the Ld. CIT(E), the assessee is in appeal before us. 4. At the time of hearing, none appeared for the assessee before us and therefore the case shall be adjudicated based on the documents available on record. The Ld. DR submitted that the assessee has given huge donations to Gurudwara Sadh 3 Sangat Trust which is a religious trust. Therefore, the assessee is not directly involved in any charitable activity. The Ld. DR supported the order of the Ld. CIT(E). 5. We have heard the submissions made by the Ld. DR and gone through the material available before us. We note that the assessee is claiming itself as charitable trust and applied for registration U/s. 12A of the Act in Form 10A of the Act. The Ld. CIT(E) has observed that the assessee has transferred Rs. 11 lakhs through cheque to Gurudwara Sadh Sangat Trust which is a religious trust whereas the assessee claimed in its objects as a charitable trust. The Ld. CIT(E) also observed that the assessee has spent most of the expenditure into religious activity and hence the registration U/s. 12A cannot be granted to the assessee Trust. Inspite of opportunities given, none represented for the assessee to provide any information required by us. We therefore are of the considered view that the assessee is not interested in pursuing its Registration U/s. 12A of the Act. We are therefore inclined to uphold the order of the Ld. CIT(E). 6. In the result, appeal of the assessee is dismissed. 4 Pronounced in the open Court on the 14 th June, 2022. Sd/- Sd/- (द ु व्ि ू रु आर.एऱ रेड्डी) (एस बाऱाक ृ ष्णन) (DUVVURU RL REDDY) (S.BALAKRISHNAN) न्याययकसदस्य/JUDICIAL MEMBER ऱेखा सदस्य/ACCOUNTANT MEMBER Dated : 14.06.2022 OKK - SPS आदेश की प्रतिलिपि अग्रेपिि/Copy of the order forwarded to:- 1. ननधधाररती/ The Assessee – M/s. Kamal Foundation, D.No.15-8-76, Flat No.1A, First Floor, Club House, Radha Beach Residency, Beach Road, Visakhapatnam – 530003, Andhra Pradesh. 2. रधजस्व/The Revenue – CIT (Exemptions), Aayakar Bhavan, Opp. LB Stadium, Basheer Bagh, Hyderabad, Telangana – 500004. 3. The Principal Commissioner of Income Tax, 4. आयकर आय ु क्त (अऩीऱ)/ The Addl/Joint Commissioner of Income Tax (Exemptions), Vijayawada. 5. ववभधगीय प्रनतननधध, आयकर अऩीऱीय अधधकरण, ववशधखधऩटणम/ DR, ITAT, Visakhapatnam 6. गधर्ा फ़धईऱ / Guard file आदेशधन ु सधर / BY ORDER Sr. Private Secretary ITAT, Visakhapatnam