M/s. KPO Charitable Trust, CHENNAI V. ITO, Coimbatore

ITA 1455/CHNY/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 61027 (ITAT-CHENNAI)
• Duration Of Justice: 7 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-04-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Next Hearing Date: 16-04-2012
• Assessment Year: misc
• Appeal Filed On: 24-08-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K E B RENGARAJAN JR STAND ING
• Assessee Lawyers: S SRIDHAR
• Keywords: Charitable institution
• Section: 12A; 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, CHENNAI BEFORE DR. O.K.NARAYANAN, VICE-PRESIDENT AND SHRI V.DURGA RAO, JUDICIAL MEMBER ITA NO.1455(MDS)/2011 M/S. KPO CHARITABLE TRUST, (A KINGDOM PRINCIPLE ORGANISATION), 7-A, ALAMALE MANGAPURAM, GANAPATHI POST, COIMBATORE-641 006. PAN AABTK6262F. VS. THE INCOME-TAX OFFICER, COMPANY WARD I, COIMBATORE. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI S.SRIDHAR, ADVOCATE RESPONDENT BY : SHRI KEB RENGARAJAN, JR.STAN DING COUNSEL DATE OF HEARING : 16 TH APRIL, 2012 DATE OF PRONOUNCEMENT : 16 TH APRIL, 2012 O R D E R PER DR.O.K.NARAYANAN, VICE-PRESIDENT: THIS APPEAL IS FILED BY THE ASSESSEE. THE APPEAL IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF I NCOME-TAX-I AT COIMBATORE, DATED 15-11-2010. 2. IN THE PRESENT CASE, THE ASSESSEE-TRUST WAS CONSTITUTED BY AN INSTRUMENT DATED 17-11-2008. THE REFORE, THE - - ITA 1455 OF 2011 2 FIRST ASSESSMENT YEAR OF THE ASSESSEE IS 2009-10. BUT, THE COMMISSIONER OF INCOME-TAX HAS ALLOWED REGISTRATION UNDER SECTION 12A ONLY WITH EFFECT FROM THE ASSESSMENT YE AR 2010-11. THE ASSESSEE WANTS REGISTRATION TO BE RETROSPECTIVE TO BE MADE APPLICABLE TO THE ASSESSMENT YEAR 2009-10 AS WELL. THIS IS THE ONLY POINT RAISED IN THE PRESENT APPEAL. 3. THERE IS A DELAY OF 222 DAYS IN FILING THIS APP EAL BEFORE THE TRIBUNAL. THE REASON STATED BY THE ASSE SSEE FOR THE DELAY IS EXTRACTED BELOW:- IN THE PETITIONERS CASE THE APPEAL WAS FILED BELATEDLY AS PER THE DEFECT MEMO ISSUED BY THE REGISTRY OF THE BENCH. THE SAID DELAY IN FILING TH E APPEAL IS NEITHER WILLFUL NOR DELIBERATE AND REASON S BEYOND THE CONTROL OF THE PETITIONER. THE PETITION ER UPON RECEIVING THE ORDER OF THE CIT DATED 15-11- 2010, HAD HANDED OVER THE SAME TO THE CHARTERED ACCOUNTANT FOR ADVICE AND FOR FURTHER ACTION. IT I S SUBMITTED THAT DURING THE COURSE OF THE MEETING ARRANGED WITH THE COUNSEL ON RECORD DURING THE MIDDLE OF AUGUST 2011 THE PETITIONER WAS INFORMED - - ITA 1455 OF 2011 3 ABOUT THE PROVISIONS GOVERNING FURTHER APPEAL IN TH E MATTER OF REJECTION OF REGISTRATION SOUGHT FOR U/S 12AA OF THE ACT AS WELL AS THE TIME LIMIT PRESCRIBE D FOR FILING SUCH APPEAL BEFORE THE INCOME-TAX APPELLATE TRIBUNAL. THE PETITIONER UPON REALIZING THE MISTAKE IN NOT FILING THE APPEAL WITHIN THE STATUTO RY TIME LIMIT IMMEDIATELY GAVE INSTRUCTIONS TO FILE TH E APPEAL BEFORE THE BENCH TO CHALLENGE THE ORDER OF THE CIT. THE APPEAL WAS PREPARED AND FILED IMMEDIATELY BY THE COUNSEL ON RECORD BELATEDLY ON 24-8-2011. 4. ON GOING THROUGH THE REASON STATED BY THE ASSESSEE, WE FIND THAT THERE WAS NO WILLFUL OMISSIO N ON THE PART OF THE ASSESSEE IN PREFERRING THE APPEAL BEFORE THE TRIBUNAL. TAKING INTO CONSIDERATION ALL THE FACTS AND CIRCUMS TANCES OF THE CASE, WE FIND THAT THE DELAY CAUSED IN FILING THE A PPEAL IS TO BE CONDONED. ACCORDINGLY, THE DELAY IS CONDONED AND T HE APPEAL IS ADMITTED FOR HEARING. 5. NOW, COMING TO THE ISSUE RAISED BY THE ASSESSEE IN THE PRESENT APPEAL, WE FIND THAT THE LEARNED COMMIS SIONER OF - - ITA 1455 OF 2011 4 INCOME-TAX HAS NOT STATED ANY SPECIFIC REASON AS TO WHY REGISTRATION SHOULD NOT BE GRANTED RETROSPECTIVELY. THE RETROSPECTIVITY IS ONLY FOR ONE ASSESSMENT YEAR. S OMETIMES, WE THINK THAT THIS ISSUE MIGHT NOT HAVE BEEN BROUGHT T O THE NOTICE OF THE LEARNED COMMISSIONER AT THE TIME OF PASSING THE ORDER. 6. THEREFORE, WE REMIT BACK THIS ISSUE TO THE LEAR NED COMMISSIONER FOR HIS FAVOURABLE CONSIDERATION, SO T HAT HE MAY GRANT REGISTRATION RETROSPECTIVELY. 7. IN RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ON MONDAY, THE 16 TH OF APRIL, 2012 AT CHENNAI. SD/- SD/- (V.DURGA RAO) (DR. O.K.NARAYANAN) JUDICIAL MEMBER VICE-PRESIDENT CHENNAI, DATED THE 16 TH APRIL, 2012. V.A.P. COPY TO: (1) APPELLANT (4) DR (2) RESPONDENT ( 5) GF (3) CIT