Shri Kalluri Lakshmi Vara Prasada Rao Memorial Charitable Trust, Hyderabad V. DIT (Exemptions), Hyderabad

ITA 14/HYD/2010

• Counselvise Citation: [2010] 119 COUNSELVISE.COM (IT) 5926 (ITAT-HYDERABAD)
• Duration Of Justice: 2 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2010
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2010-2011
• Appeal Filed On: 06-01-2010
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: K V N CHARYA
• Assessee Lawyers: A V RAGHURAM
• Keywords: Charitable institution

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH A, HYDERABAD BEFORE SHRI G.C.GUPTA, VICE PRESIDENT AND SHRI AKBER BASHA, ACCOUNTANT MEMBE R ITA NO.14/HYD/10 : ASSESSMENT YEAR - 2010- 11 SHRI KALLURI LAKSHMI VARA PRASADA RAO MEMORIAL CHARITABLE TRUST, HYDERABAD. (PAN - AAITS 0009 D) V/S INCOME-TAX OFFICER, WARD-6(1), HYDERABAD (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI A.V.RAGHURAM RESPONDENT BY : SHRI K.V.N.CHARYA O R D E R PER AKBER BASHA, ACCOUNTANT MEMBER: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDE R OF THE DIRECTOR OF INCOME-TAX (EXEMPTION), HYDERABAD DATE D 28TH OCTOBER, 2009, REJECTING THE APPLICATION OF THE ASSESSEE-TRUST, SEEK ING APPROVAL UNDER S.80G OF THE INCOME-TAX ACT, 1961(THE ACT). 2. LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE HAS FILED ALL THE RELEVANT DOCUMENTS REQUIRED FOR GRANT OF APPROVAL UNDER S.80G OF THE ACT, AND THE DIRECTOR(EX EMPTION) WAS NOT CORRECT IN OBSERVING THAT BOOKS OF ACCOUNT, ORIGINAL TRUST DEED AND CONFIRMATION LETTERS WERE NOT PRODUCED, AND ON THAT COU NT REJECTING THE APPLICATION OF THE ASSESSEE. IN SUPPORT OF THIS CONTENTION , HE FURNISHED BEFORE US A COPY OF THE LETTER DATED 13TH JULY, 2009 ADDRESSED TO THE DIRECTOR (EXEMPTION), ACCORDING TO WHICH RELEVANT DOCUME NTS WERE ENCLOSED. RELYING ON THE DECISION OF THE CO-ORDINATE BE NCH OF THIS 2 TRIBUNAL IN ITA NO.1145/HYD/09 IN THE CASE OF M/S. KAMA LAKAR MEMORIAL CHARITABLE TRUST, HYDERABAD, HE SUBMITTED THAT NON-RE GISTRATION OF THE ASSESSEE-TRUST UNDER A.P. CHARITABLE & HINDU RELIGIOUS INST ITUTIONS ENDOWMENT ACT, 1987, SHALL NOT RENDER THE ASSESSEE TRUST TO BE A NON- CHARITABLE ONE. 3. ON THE OTHER HAND, THE LEARNED DEPARTMENTAL REP RESENTATIVE RELIED ON THE IMPUGNED ORDER OF THE DIRECTOR (EXEMPT IONS) AND SUBMITTED THAT IF AT ALL REQUIRED, THE MATTER MAY BE RESTORED TO THE FILE OF THE DIRECTOR (EXEMPTION), FOR FRESH ADJUDICATION. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. ONE OF TH E GROUNDS ON WHICH THE APPLICATION OF THE ASSESSEE WAS REJECTE D BY THE DIRECTOR (EXEMPTION) IS THAT THE ASSESSEE HAS NOT PRODUCED EITHER BOOKS OF ACCOUNT OR ORIGINAL TRUST DEED. IT HOWEVER, APPEA RS FROM THE LETTER OF THE ASSESSEE DATED 13TH JULY, 2009, COPY FURNISHED BEFORE US, THAT ASSESSEE HAS FILED THE REQUISITE DOCUMENTS. AS SUCH, THE MAT TER REQUIRES TO BE RE-EXAMINED BY THE DIRECTOR (EXEMPTION S). FURTHER, ONE OF THE CONTENTIONS OF THE ASSESSEE IN THE GROUNDS RAISED IN THIS APPEAL IS THAT NO OPPORTUNITY WAS GIVEN TO THE ASSESSEE TO FURNISH ANY CONFIRMATION LETTERS FROM THE DONORS. CONSIDERING TOTA LITY OF FACTS AND CIRCUMSTANCES OF THE CASE, WE DEEM IT JUST AND PROPER TO SET ASIDE THE IMPUGNED ORDER OF THE DIRECTOR (EXEMPTIONS) AND RESTO RE THE MATTER TO HIS FILE FOR FRESH ADJUDICATION ON THE APPLICATION OF T HE ASSESSEE FOR APPROVAL UNDER S.80G OF THE ACT. WE DO SO ACCORDINGLY, AND DIRECT THE DIRECTOR (EXEMPTIONS) TO RE-EXAMINE THE MATTER AFRESH AND DISPOSE OFF THE APPLICATION OF THE ASSESSEE IN ACCORDANCE WITH LAW, AF TER GIVING REASONABLE OPPORTUNITY TO THE ASSESSEE TO PUT FORTH ITS CA SE. 3 5. IN THE RESULT, ASSESSEE'S APPEAL IS ALLOWED FOR STATIS TICAL PURPOSES. ORDER PRONOUNCED IN THE COURT AT THE CONCLUSION OF HE ARING ON 24.3.2010. SD/- SD /- (G.C.GUPTA) (AKBER BASHA) VICE PRESIDENT. ACCOUNTANT MEMBER. DT/- 24TH MARCH, 2010. COPY FORWARDED TO: 1. SHRI KALLURI LAKSHMI VARA PRASADA RAO MEMORIAL CHARIT ABLE TRUST, C/O. M/S. K.VASANT KUMAR, A.V.RAGHU RAM & B.PED DI RAJULU, ADVOCATES, 403 MANISHA TOWERS, D.NO.10-1-18/31, SHYAM NAGAR, HYDERABAD. 2. DIRECTOR OF INCOME-TAX (EXEMPTIONS), HYDERABAD. 3. DDIT(E), HYDERABAD. 4. THE D.R., ITAT, HYDERABAD. B.V.S.