Chennai Children Orthopedic Trust, CHENNAI V. DIT, CHENNAI

ITA 1543/CHNY/2013

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 68722 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-09-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 15-07-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: N MADHAVAN
• Assessee Lawyers: M KARUNAKARAN

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL BENCH A CHENNAI BEFORE SHRI N.S. SAINI, ACCOUNTANT MEMBER AND SHRI S.S. GODARA, JUDICIAL MEMBER I.T.A. NO. 1543/MDS/2013 CHENNAI CHILDREN ORTHOPEDIC TRUST, 9/6, SIVASWAMY STREET, MYLAPORE, CHENNAI-600004 PAN : AABTC4422H. (APPELLANT ) V. THE DIRECTOR OF INCOME TAX (EXEMPTIONS) CHENNAI (RESPONDENT) DEPARTMENT BY SHRI N. MADHAVA N , JCIT ASSESSEE BY : SHRI M. KARUNAKARAN, ADVOCATE DATE OF HEARING : 19 SEP 2013 DATE OF PRONOUNCEMENT : 20 SEP 2013 O R D E R PER S.S. GODARA, J.M : THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGA INST THE ORDER OF THE DIRECTOR OF INCOME TAX (EXEMPTIONS), C HENNAI, DATED 29.05.2013, PASSED IN APPEAL NO.DIT(E) NO.2(6 42)/12- ITA NOS.1543/MDS/2013. 2 13/509, IN PROCEEDINGS UNDER SEC.12AA OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). 2. IN THE COURSE OF HEARING, THE ASSESSEE SUBMITS THAT THE DIT(E), CHENNAI, HAS WRONGLY REJECTED ITS APPLI CATION SEEKING REGISTRATION UNDER SEC.12AA OF THE ACT. THEREAFTER , REITERATES THE GROUNDS RAISED IN THE APPEAL AND PRAYS FOR ITS ACCE PTANCE. 3. THE REVENUE PLACES STRONG RELIANCE ON THE ORDER OF THE DIT(E). 4. THE ASSESSEE IS A TRUST CREATED BY A TRUST DE ED DATED 10.11.2012. ON 30.11.2013 IT HAD FILED AN AP PLICATION FOR REGISTRATION UNDER SEC.12AA OF THE ACT BEFORE THE D IT(E). WE NOTICE THAT VIDE THE IMPUGNED ORDER, THE SAME HAS B EEN REJECTED AS UNDER:- 3. THE SAID ORGANIZATION IE. PAEDIATRIC ORTHOPAED IC SOCIETY OF INDIA HAS AUTHORIZED AN INSTITUTION/ORGANISATION KNOWN AS CHENNAI ORTHOPAEDIC EDUCATIONAL TRUST TO CONDUCT POSICON 2014 ON ITS BEHALF. A LETTER TO THAT EFFEC T ISSUED BY PAEDIATRIC ORTHOPAEDIC SOCIETY OF INDIA DATED 4.4.2 013 (COPY ENCLOSED TO THIS ORDER) HAS BEEN FURNISHED BY THE A PPLICANT TRUST. IT IS SURPRISING TO NOTE THAT WHILE A SEPARA TE ORGANIZATION, BY NAME, 'CHENNAI ORTHOPAEDIC EDUCATIONAL TRUST' HA S BEEN AUTHORIZED TO CONDUCT POSICON 2014, THE PRESENT APP LICANT, ITA NOS.1543/MDS/2013. 3 WHOSE NAME IS 'CHENNAI CHILDREN ORTHOPAEDIC TRUST', IS CLAIMING TO BE THE ONE OFFICIALLY AUTHORIZED TO CON DUCT 2014 ANNUAL CONFERENCE [POSICON - 2014] OF THE PAEDIATRI C ORTHOPAEDIC SOCIETY OF INDIA IN CHENNAI. HENCE, THE CLAIM OF THE APPLICANT TRUST IN THIS REGARD HAS BEEN FOUND T O BE FALSE. 4. THE SECOND REASON FOR DENIAL OF REGISTRATION TO THE APPLICANT TRUST IS THAT THE TRUSTEES HAVE FAILED TO FURNISH THE FOLLOWING DETAILS, WHICH WERE SOUGHT FROM THEM. (A) COPY OF THE AUDITED ACCOUNTS FOR POSICON 2012 & 2013; (B) COPY OF CODE OF ETHICS ISSUED BY MEDICAL COUNCIL OF INDIA WITH REGARD TO INVOLVEMENT OF PROFESSIONAL DOCTORS IN ORGANIZING SUCH CONFERENCE. 5. THE MATTER HAD BEEN DULY ADJOURNED TO 09.05.201 3 TO FURNISH THE ABOVE DETAILS. HOWEVER, NEITHER THE REQ UIRED DETAILS WERE FURNISHED ON THE SPECIFIED DATE NOR ANY ADJOUR NMENT WAS SOUGHT. TILL THE DATE OF PASSING OF THIS ORDER, NO SUCH DETAILS HAVE BEEN FURNISHED. THIS GOES TO SHOW THAT THE APP LICANT TRUST IS NO LONGER INTERESTED TO PURSUE ITS APPLICATION F OR REGISTRATION. 6. FOR THE REASONS MENTIONED HEREIN ABOVE, I HAVE NO HESITATION IN HOLDING THAT THE APPLICANT TRUST DOES NOT QUALIFY FOR REGISTRATION U/S.12AA OF THE INCOME-TAX ACT, 1961. HENCE, THE PRESENT APPLICATION IS REJECTED AND THE REGISTRATIO N SOUGHT FOR IS DENIED. THEREFORE, THE ASSESSEE HAS FILED THE INSTANT APP EAL. 5. WE HAVE HEARD BOTH PARTIES AND GONE THROUGH THE CASE FILE. IT IS APPARENT TO US THAT APART FROM RE JECTING THE REGISTRATION APPLICATION ON NOMENCLATURE, THE OTHER GROUND IN THE ITA NOS.1543/MDS/2013. 4 ORDER IS THAT THE ASSESSEE HAD NOT FURNISHED THE RE LEVANT DETAILS OF AUDITED ACCOUNTS AND CODE OF ETHICS SOUGHT FOR. IN THIS VIEW OF THE MATTER, WE DEEM IT APPROPRIATE IN THE LARGER INTEREST OF JUSTICE THAT THE ISSUE REQUIRES TO BE RE-EXAMINED B Y THE DIT(E). ACCORDINGLY, WE RESTORE THE ASSESSEES APPLICATION SEEKING REGISTRATION TO THE FILE OF LEARNED DIT(E) AND MAKE IT CLEAR THAT THIS TIME THE ASSESSEE WOULD AVAIL THREE EFFECTIVE OPPORTUNITIES TO PLACE ON RECORD ALL THE NECESSARY DETAILS WHICH WOULD BE CONSIDERED IN ACCORDANCE WITH LAW. 6. THE APPEAL IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED ON FRIDAY, THE 20 TH DAY OF SEPTEMBER 2013. SD/- SD/- ( N.S. SAINI ) ( S.S. GODARA ) ACCOUNTANT MEMBER JUDICIAL MEMBER CHENNAI, DATED : 20 TH SEPTEMBER 2013 JLS. ITA NOS.1543/MDS/2013. 5 COPY TO: 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT(APPEALS) 4) THE CIT, (5) THE D.R., 6) GUARD FILE