M/s Global Leadership Ministry Trust, Bangalore V. ADIT, Bangalore

ITA 1424/BANG/2012

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 0439 (ITAT-BANGALORE)
• Duration Of Justice: 3 year(s) 6 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-05-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 02-05-2016
• Assessment Year: misc
• Appeal Filed On: 31-10-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: BINOD KUMAR SINGH I
• Keywords: Reasonable cause
• Section: 80G; 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI ABRAHAM P. GEORGE, ACCOUNTANT MEMBER ITA NO.1424/BANG/2012 ASSESSMENT YEAR : N.A. M/S. GLOBAL LEADERSHIP MINISTRY TRUST, NO.274, 3 RD CROSS, 1 ST MAIN ROAD, JAKKASANDRA EXTENSION, BANGALAORE 560 034. PAN: AABTG 1022D VS. THE ASSISTANT DIRECTOR OF INCOME TAX (EXEMPTION), BANGALORE. APPELLANT RESPONDENT APPELLANT BY : SHRI BALRAM R. RAO, ADVOCATE RESPONDENT BY : SHRI BINOD KUMAR SINGH, CIT(DR-I) DATE OF HEARING : 02.05.2016 DATE OF PRONOUNCEMENT : 06.05.2016 O R D E R PER SUNIL KUMAR YADAV, JUDICIAL MEMBER THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF DIRECTOR OF INCOME TAX (EXEMPTION) [CIT(E)], BANGAL ORE DATED 01.08.2012 DENYING THE BENEFIT OF RECOGNITION U/S. 80G OF THE INCOME-TAX ACT, 1961 [HEREINAFTER CALLED THE ACT]. 2. IT HAS BEEN BROUGHT TO OUR NOTICE THAT THERE IS A DELAY OF 8 DAYS IN FILING OF APPEAL FOR WHICH APPLICATION FOR CONDONAT ION OF DELAY IS FILED AND HAVING CAREFULLY EXAMINED IT, WE FIND THAT THERE IS REASONABLE CAUSE FOR ITA NO.1424/BANG/2012 PAGE 2 OF 4 DELAY AND WE ACCORDINGLY CONDONE THE SAME AND ADMIT THE APPEAL FOR HEARING. 3. DURING THE COURSE OF HEARING, LD. COUNSEL FOR TH E ASSESSEE HAS INVITED OUR ATTENTION THAT ASSESSEE HAS BEEN GRANTE D REGISTRATION U/S. 12A OF THE ACT AND WAS ENGAGED IN CHARITABLE ACTIVITIES , BUT THE BENEFIT OF RECOGNITION U/S. 80G WAS DENIED ONLY FOR THE REASON THAT SOME OF THE ACTIVITIES OF THE ASSESSEE ARE RELIGIOUS IN NATURE. THE LD. COUNSEL FOR THE ASSESSEE FURTHER PLACED RELIANCE UPON THE ORDER OF THE TRIBUNAL DATED 24.08.2011 IN THE CASE OF M/S. JESUS HEALS MISSION TRUST V. ITO IN ITA NO.2012/MDS/2010 WITH THE SUBMISSION THAT UNDER IDENTICAL CIRCUMSTA NCES, THE TRIBUNAL HAS SET ASIDE THE ORDER OF CIT AND DIR ECTED HIM TO ADJUDICATE THE ISSUE AFRESH IN LIGHT OF THE SPECIFIC CONTENTIO NS RAISED BY THE ASSESSEE. 4. THE LD. DR, ON THE OTHER HAND, HAS CONTENDED THA T BEFORE THE CIT(E), MOST OF THE TIME ASSESSEE SOUGHT ADJOURNMEN TS AND HAS NOT PLEADED ITS CASE EFFECTIVELY. ON ACCOUNT OF NON-COO PERATION OF THE ASSESSEE, THE CIT(E) WAS FORCED TO ADJUDICATE THE I SSUE ON THE BASIS OF MATERIAL AVAILABLE ON RECORD. 5. HAVING CAREFULLY EXAMINED THE ORDER OF LD. CIT(E ), WE FIND THAT ON A NUMBER OF OCCASIONS ASSESSEE SOUGHT ADJOURNMENT FOR ONE REASON OR THE OTHER AND THEREFORE CIT(E) HAS ADJUDICATED THE ISSU E ON THE BASIS OF MATERIAL AVAILABLE ON RECORD AND DENIED THE RECOGNI TION U/S. 80G OF THE ACT. ON A CAREFUL PERUSAL OF THE ORDER OF CIT(E), WE FIN D THAT ASSESSEE HAS NOT ITA NO.1424/BANG/2012 PAGE 3 OF 4 PUT FORTH HIS CASE BEFORE THE CIT(E) BY PLACING THE RELEVANT EVIDENCE WITH REGARD TO ITS NATURE OF ACTIVITIES AND THE LD. CIT( E) WAS FORCED TO ADJUDICATE THE ISSUE ON THE BASIS OF MATERIAL AVAILABLE ON REC ORD. HAVING CAREFULLY EXAMINED THE ORDER OF LD. CIT(E), WE FIND THAT ASSE SSEE HAS ALREADY BEEN GRANTED REGISTRATION U/S. 12A OF THE ACT AND THE LD . CIT(E) SHOULD HAVE EXAMINED THE ISSUE IN LIGHT OF THE REGISTRATION GRA NTED U/S. 12A OF THE ACT AND THE ACTIVITIES UNDERTAKEN BY THE ASSESSEE. IT IS ALSO NOT CLEAR FROM THE ORDER OF CIT(E) AS TO HOW MUCH PERCENTAGE OF ACTIVI TIES OF THE ASSESSEE WAS RELIGIOUS IN NATURE. WE THEREFORE, TO MEET THE ENDS OF JUSTICE, SET ASIDE THE ORDER OF CIT(E) AND RESTORE THE MATTER TO HIS F ILE WITH A DIRECTION TO RE- ADJUDICATE THE ISSUE AFRESH, AFTER AFFORDING OPPORT UNITY OF BEING HEARD TO THE ASSESSEE. THE ASSESSEE IS ALSO DIRECTED TO EXTEND ALL COOPERATION AND FILE ALL RELEVANT EVIDENCE BEFORE THE CIT(E) SO THAT HE CAN TAKE A PROPER VIEW. 6. IN THE RESULT, THE APPEAL OF ASSESSEE STANDS ALL OWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON THIS 6 TH DAY OF MAY, 2016. SD/- SD/- ( ABRAHAM P. GEORGE ) (SUNIL KUMAR YA DAV ) ACCOUNTANT MEMBER JUDIC IAL MEMBER BANGALORE, DATED, THE 6 TH MAY, 2016. /D S/ ITA NO.1424/BANG/2012 PAGE 4 OF 4 COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, ITAT, BANGALORE.