Tamil Nadu Advocates Clerks Welfare Fund, CHENNAI V. DDIT OSD, CHENNAI

ITA 1621/CHNY/2016

• Counselvise Citation: [2017] 130 COUNSELVISE.COM (IT) 7470 (ITAT-CHENNAI)
• Duration Of Justice: 9 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-03-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 27-02-2017
• Assessment Year: 2007-2008
• Appeal Filed On: 01-06-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUPRIYO PAL
• Assessee Lawyers: R VENKATESH
• Section: 12AA; 11

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, CHENNAI . . . , !.. # $%, ' () BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI D.S. SUNDER SINGH, ACCOUNTANT MEMBER ./ ITA NOS.1618, 1619, 1620, 1621, 1622, 1623 & 1624/MDS/2016 + ,+ / ASSESSMENT YEARS : 2005-06 TO 2009-10 M/S TAMIL NADU ADVOCATES CLERKS WELFARE FUND, BAR COUNCIL BUILDINGS, HIGH COURT CAMPUS, CHENNAI 600 104. PAN : AABTT 4436 C V. THE DEPUTY DIRECTOR OF INCOME TAX, OSD (EXEMPTIONS)-II, CHENNAI - 600 034. (.// APPELLANT) (01.// RESPONDENT) ./ 2 3 / APPELLANT BY : SHRI R. VENKATESH, CA 01./ 2 3 / RESPONDENT BY : SHRI SUPRIYO PAL, JCIT # 2 4' / DATE OF HEARING : 27.02.2017 56, 2 4' / DATE OF PRONOUNCEMENT : 23.03.2017 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER: ALL THE APPEALS OF THE ASSESSEE ARE DIRECTED AGA INST THE COMMON ORDER PASSED BY THE COMMISSIONER OF INCOME T AX (APPEALS), CHENNAI, DATED 18.03.2015 AND PERTAIN TO ASSESSMENT YEARS 2005-06 TO 2009-10. SINCE COMMON ISSUE ARIS ES FOR 2 I.T.A. NOS.1618 TO 1624/MDS/16 CONSIDERATION IN ALL THESE APPEALS, WE HEARD THESE APPEALS TOGETHER AND DISPOSING OF THE SAME BY THIS COMMON ORDER. 2. THERE WAS A DELAY OF 295 DAYS IN FILING THIS APP EALS BY THE ASSESSEE. THE ASSESSEE HAS FILED A PETITION FOR CO NDONATION OF DELAY. WE HAVE HEARD THE LD. REPRESENTATIVE FOR TH E ASSESSEE AND THE LD. DEPARTMENTAL REPRESENTATIVE. WE FIND THAT THERE WAS SUFFICIENT CAUSE FOR NOT FILING THE APPEALS BEFORE THE STIPULATED TIME. THEREFORE, WE CONDONE THE DELAY AND ADMIT THE APPEA LS. 3. SHRI R. VENKATESH, THE LD. REPRESENTATIVE FOR TH E ASSESSEE, SUBMITTED THAT THE ASSESSEE CLAIMED BEFORE THE ASSE SSING OFFICER EXEMPTION UNDER SECTION 11 OF THE INCOME-TAX ACT, 1 961 (IN SHORT 'THE ACT'). THE ASSESSING OFFICER DISALLOWED THE C LAIM OF THE ASSESSEE FOR ALL THE YEARS UNDER CONSIDERATION ON T HE GROUND THAT REGISTRATION UNDER SECTION 12AA OF THE ACT WAS NOT AVAILABLE. THE LD. REPRESENTATIVE FURTHER SUBMITTED THAT IN FACT, REGISTRATION UNDER SECTION 12AA OF THE ACT WAS GRANTED FROM THE ASSESS MENT YEAR 2011-12 BY THE DIRECTOR OF INCOME TAX (EXEMPTIONS). SINCE REGISTRATION WAS NOT AVAILABLE FOR EARLIER YEARS AN D THE DIRECTOR OF INCOME TAX (EXEMPTIONS) HAS NO AUTHORITY TO CONDONE THE DELAY IN FILING APPEAL, THE ASSESSEE APPROACHED THE CBDT UND ER SECTION 3 I.T.A. NOS.1618 TO 1624/MDS/16 119 OF THE ACT TO CONDONE THE DELAY IN FILING THE A PPLICATION UNDER SECTION 12AA OF THE ACT. IN FACT, THE CBDT BY AN ORDER DATED 19.07.2016 CONDONED THE DELAY IN FILING THE APPLICA TION UNDER SECTION 12AA OF THE ACT. IN VIEW OF ABOVE ORDER OF THE CBDT, ACCORDING TO THE LD. REPRESENTATIVE, NOW THE DIRECT OR OF INCOME TAX (EXEMPTIONS) HAS TO EXAMINE THE MATTER AFRESH FOR A LL THE YEARS UNDER CONSIDERATION AND DISPOSE OF THE APPLICATION OF THE ASSESSEE ON MERIT. THE ORDER OF THE DIRECTOR OF INCOME TAX (EXEMPTIONS) ON THE APPLICATION FILED BY THE ASSESSEE UNDER SECTION 12AA OF THE ACT WILL HAVE A DEFINITE IMPACT ON THE ASSESSMENTS OF T HE ASSESSEE FOR ALL THESE YEARS. IN OTHER WORDS, ACCORDING TO THE LD. REPRESENTATIVE, IF THE DIRECTOR OF INCOME TAX (EXEMPTIONS) GRANTS R EGISTRATION UNDER SECTION 12AA OF THE ACT, THE INCOME OF THE ASSESSEE WOULD BE EXEMPTED UNDER SECTION 11 OF THE ACT. THEREFORE, T HE LD. COUNSEL SUBMITTED THAT THE MATTER MAY BE REMITTED BACK FOR RECONSIDERATION. 4. WE HAVE HEARD SHRI SUPRIYO PAL, THE LD. DEPARTME NTAL REPRESENTATIVE ALSO. ADMITTEDLY, THE CLAIM OF EXEM PTION UNDER SECTION 11 OF THE ACT WAS REJECTED BY THE ASSESSING OFFICER ON THE GROUND THAT THE REGISTRATION UNDER SECTION 12AA OF THE ACT WAS NOT GRANTED FROM THE ASSESSMENT YEARS 2011-12. IT IS A LSO AN ADMITTED 4 I.T.A. NOS.1618 TO 1624/MDS/16 FACT THAT THE DIRECTOR OF INCOME TAX (EXEMPTIONS) H AS NO AUTHORITY OR JURISDICTION TO GRANT REGISTRATION WITH RETROSPE CTIVE OPERATION. NOW THE CBDT HAS CONDONED THE DELAY IN FILING THE APPLI CATION FOR REGISTRATION UNDER SECTION 12AA OF THE ACT. THEREF ORE, THE DIRECTOR OF INCOME TAX (EXEMPTIONS) HAS TO EXAMINE THE APPLI CATION OF THE ASSESSEE FOR REGISTRATION UNDER SECTION 12AA OF THE ACT. AS RIGHTLY SUBMITTED BY THE LD. COUNSEL FOR THE ASSESSEE, IF T HE ORDER IS PASSED BY THE DIRECTOR OF INCOME TAX (EXEMPTIONS) ON THE A PPLICATION FILED BY THE ASSESSEE FOR REGISTRATION UNDER SECTION 12AA OF THE ACT, IT WOULD DEFINITELY HAVE AN IMPACT ON THE ASSESSMENTS OF THE ASSESSEE FOR ALL THE ASSESSMENT YEARS UNDER CONSIDE RATION. ACCORDINGLY, THE ORDERS OF THE BOTH THE AUTHORITIES BELOW ARE SET ASIDE AND THE ENTIRE ISSUE RAISED BY THE ASSESSEE I S REMITTED BACK TO THE FILE OF THE ASSESSING OFFICER. THE ASSESSIN G OFFICER SHALL RE- EXAMINE THE MATTER AFRESH IN THE LIGHT OF THE ORDER THAT MAY BE PASSED BY THE DIRECTOR OF INCOME TAX (EXEMPTIONS) C ONSEQUENT TO THE ORDER OF THE CBDT DATED 19.07.2016 AND THEREAFT ER DECIDE THE ISSUE, IN ACCORDANCE WITH LAW, AFTER GIVING A REASO NABLE OPPORTUNITY TO THE ASSESSEE. 5 I.T.A. NOS.1618 TO 1624/MDS/16 5. IN THE RESULT, ALL THE APPEALS FILED BY THE ASSE SSEE ARE ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED ON 23 RD MARCH, 2017 AT CHENNAI. SD/- SD/- ( ! . . # $% ) ( . . . ) (D.S. SUNDER SINGH) (N.R.S. GANESAN) ' / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 8 /DATED, THE 23 RD MARCH, 2017. KRI. 2 04$9 :9,4 /COPY TO: 1. ./ /APPELLANT 2. 01./ /RESPONDENT 3. # ;4 () /CIT(A)-17, CHENNAI-34 4. DIT (EXEMPTIONS), CHENNAI 5. 9< 04 /DR 6. !+ = /GF.