BKS Diabetes, Medical And Welfare Trust, Jodhpur V. CIT(Exemption), Jaipur

ITA 154/JODH/2022

AI Insights

The case involves BKS Diabetes, Medical and Welfare Trust, which appealed against the decision of the Commissioner of Income Tax (Exemptions), Jaipur, who had rejected their applications for registration under section 12AA and approval under section 80G of the Income Tax Act, 1961. The rejection was based on the absence of necessary documents and evidence to support the establishment of the trust. The tribunal found that the initial proceedings violated the principles of natural justice as the assessee did not receive the electronic communication of the notices. Consequently, the tribunal remanded the case for a fresh hearing, emphasizing the need for the assessee to be given a fair opportunity to present their case.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 122693 (ITAT-JODHPUR)
• Duration Of Justice: 10 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-10-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 10-10-2023
• Assessment Year: 2022-2023
• Appeal Filed On: 16-11-2022
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice
• Section: 80G; 12A; 12AA; 153

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH, JODHPUR BEFORE DR. M. L. MEENA, ACCOUNTANT MEMBER AND SH. ANIKESH BANERJEE, JUDICIAL MEMBER I.T.A. Nos. 153 & 154/Jodh/2022 Assessment Year: NA BKS Diabetes, Medical and Welfare Trust, Shastri Nagar, Jodhpur, Rajasthan-342003 [PAN: AADTB 9021F] (Appellant) Vs. CIT (Exemptions), Jaipur (Respondent) Appellant by Respondent by : : Sh. R. R. Singhvi, Adv. Sh. Rajesh Ojha, CIT-DR Date of Hearing Date of Pronouncement : : 11.10.2023 12.10.2023 ORDER Per Dr. M. L. Meena, AM: Both the captioned appeals have been filed by the assessee against the order of the ld. Commissioner of Income Tax (Exemption), Jaipur dated 21.09.2022 challenging therein rejection of its application for grant of registration u/s 12A and approval u/s 80G of the Income Tax Act, 1961 in violation of principles of natural justice. 2 ITA Nos. 153 & 154/Jodh/2022 BKS Diabetes, Medical and Welfare Trust v. CIT 2. At the outset, the ld. counsel for the assessee has submitted that the ld. CIT(A) has rejected its application for grant of registration u/s 12AA and approval u/s 80G of the I. T. Act ex-parte qua the assessee by observing that the applicant did not submit documents regarding establishment of the trust/society as well as evidence in support of its claim. He, further submitted that the ld. CIT(E) has issued online notice dated 09.09.2022 as final opportunity fixing the date of hearing on 12.09.2022 and pass the order on 21.09.2023. He pleaded that the assessee has not received electronic communication of the notices issued by the ld. CIT(E). He prayed that one more opportunity may be granted to enable the appellant assessee Trust to file the requisite information in compliance to the notice issued by the ld. CIT(E) to his satisfaction in view of the principles of natural justice. 3. Per contra, the ld. CIT-DR has supported the impugned order however, he has no objection to the request of the assessee for grant of one more opportunity in view of the principles of natural justice. 4. We have heard both the sides, perused the material on record and the impugned order. Admittedly, the ld. CIT(E) has rejected the appellant trust application u/s 12AA and 80G of the Act ex-parte qua the assessee in 3 ITA Nos. 153 & 154/Jodh/2022 BKS Diabetes, Medical and Welfare Trust v. CIT violation of principles of natural justice. In view of that matter, we consider it deem fit to remand back the matter to the file of the ld. CIT(E) with a direction to adjudicate the matter of grant of registration u/s 12AA and approval u/s 80G of the Act afresh after granting sufficient opportunity of being heard, after considering the written submissions to be filed in compliance to the notices issued in the afresh proceedings. At the same time, the appellant assessee is directed to co-operate in the fresh proceedings before the ld. CIT(E) by furnishing necessary documentary evidences in compliance to notice even if issued in the virtual proceedings on the online system of through the email given. The appellant is further directed to update its latest email address with the CIT(E)’s virtual portal. Accordingly, the present two appeal are restored back to the file of the ld. CIT(E) for afresh adjudication as per the amended provisions of law. 5. In the result, both the appeals of the assessee are allowed for statistical purpose. Order pronounced in the open court on 12.10.2023 Sd/- Sd/- (Anikesh Banerjee) (Dr. M. L. Meena) Judicial Member Accountant Member *GP/Sr.PS* Copy of the order forwarded to: 4 ITA Nos. 153 & 154/Jodh/2022 BKS Diabetes, Medical and Welfare Trust v. CIT 1. The Appellant 2. The Respondent 3. The CIT 4. The CIT (A) 5. The DR 6. Guard File Assistant Registrar Jodhpur Bench