SURAJGARH VIKAS SABHA CHARITABLE TRUST, MUMBAI V. DIT (E), MUMBAI

ITA 1674/MUM/2013

• Counselvise Citation: 167419914 RSA 2013
• Duration Of Justice: 1 year(s) 9 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-12-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 17-12-2014
• Assessment Year: 2012-2013
• Appeal Filed On: 01-03-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MANJUNATH SWAMY
• Assessee Lawyers: S M BANDI
• Keywords: Charitable institution; Opportunity of being heard

Judgement Text

, , ,, , , ,, , IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES E MUMBAI , . . , BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER AND SHRI R.C.SHARMA, ACCOUNTANT MEMBER . / ITA NO.1674/MUM/2013 ! ! ! ! ' ' ' ' / ASSESSMENT YEAR: 2012-13 SURAJGARH VIKAS SABHA CHARITABLE TRUST, 16, GANESH BHAVAN, 2 ND FLOOR, 80 RAM WADI, KALBADEVI ROAD, MUMBAI-400002 VS. DIRECTOR OF INCOME TAX (EXEMPTION), 6 TH FLOOR, PIRAMAL CHAMBERS, PAREL, MUMBAI-400012 ( !#$ / ASSESSEE) ( % / REVENUE) P.A. NUMBER : AALTS2939R !#$ & ' / ASSESSEE BY: SHRI S.M.BANDI % & ' / REVENUE BY SHRI MANJUNATH SWAMY ! & $( / DATE OF HEARING : 17/12/2014 )*' & $( / DATE OF PRONOUNCEMENT : 17/12/2014 O R D E R PER JOGINDER SINGH, JM: THE ASSESSEE IS AGGRIEVED BY THE IMPUGNED ORDER DAT ED 18/01/2013 OF THE LD. DIRECTOR OF INCOME TAX (EXEMP TION), MUMBAI. THE ONLY GROUND RAISED BY THE ASSESSEE PER TAINS TO REJECTING THE APPLICATION OF THE ASSESSEE FOR GRANT OF REGISTRATION U/S 12A/12AA OF THE INCOME TAX ACT. 2 SURAJGARH VIKAS SABHA CHARITABLE TRUST . 2. DURING HEARING OF THIS APPEAL, THE CRUX OF ARGUM ENT, ADVANCED BY SHRI S.M. BANDI, LD. COUNSEL FOR THE AS SESSEE IS THAT THE FINDING OF THE LD. DIT(E) IS CONTRARY TO THE FA CTS AS PARTIAL/NECESSARY DETAILS WERE FILED BY THE ASSESSE E VIDE LETTER DATED 09/01/2013, 14/01/2013 AND 15/01/2013. IT WA S ALSO CONTENDED THAT EVEN THE DOCUMENTS WERE FILED IN ORI GINAL IN THE OFFICE OF THE LD. DIT(E). PLEA WAS ALSO RAISED THA T REASONABLE OPPORTUNITY WERE NOT PROVIDED TO THE ASSESSEE. ON THE OTHER HAND, SHRI MANJUNATH SWAMY, LD.DR STRONGLY DEFENDED THE C ONCLUSION DRAWN IN THE IMPUGNED ORDER BY SUBMITTING THAT IN S PITE OF PROVIDING OPPORTUNITY THE ASSESSEE DID NOT FURNISH THE NECESSARY DETAILS TO ENABLE THE LD. DIT(E) TO REACH TO A PART ICULAR SATISFACTION REGARDING THE GENUINENESS OF THE OBJECTS AND CHARIT ABLE ACTIVITIES OF THE ASSESSEE. THE DENIAL OF REGISTRATION TO THE ASSESSEE WAS SUPPORTED. 2.1. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND P ERUSED THE MATERIAL AVAILABLE ON RECORD. THE FACTS, IN BRIEF, ARE THAT THE ASSESSEE FILED AN APPLICATION IN FORM NO.10A WITH T HE OFFICE OF THE DIRECTOR OF INCOME-TAX (EXEMPTION) ON 27/07/2012. THE ASSESSEE SOCIETY WAS REGISTERED WITH THE REGISTRAR OF SOCIET IES ON 12/03/2012 AND CHARITY COMMISSIONER ON 26/07/2012. THE OFFICE OF THE LD. DIT(E) ISSUED NOTICE TO THE ASSES SEE, REQUIRING IT TO FURNISH NECESSARY DETAILS/DOCUMENTS ON 16/10/2012. THE MANAGING TRUSTEE OF THE ASSESSEE TRUST WAS CALLED U PON ON 02/11/2012 FOR PRODUCTION AND VERIFICATION OF ORIGI NAL DOCUMENTS. AS PER THE IMPUGNED ORDER, NOBODY ATTENDED. HOWEVE R, THE ASSESSEE THROUGH ITS LETTER FILED PARTIAL DETAILS/I NFORMATION. THE 3 SURAJGARH VIKAS SABHA CHARITABLE TRUST . LD. DIT(E) FORMED ITS OPINION ON THE BASIS OF THESE DOCUMENTS AND DENIED REGISTRATION TO THE ASSESSEE AGAINST WHICH T HE ASSESSEE IS IN APPEAL BEFORE THIS TRIBUNAL. ON PERUSAL OF RECORD, AND THE ASSERTIONS MADE BY TH E LD. RESPECTIVE COUNSEL, WE ARE OF THE VIEW THAT, AS PER THE PROVISIONS OF SECTION 12AA(1)(B) OF THE ACT, THE AUTHORITY CON CERNED IS EXPECTED TO SATISFY HIMSELF ABOUT THE OBJECTS OF TH E TRUST OF INSTITUTION AND THE GENUINENESS OF ITS ACTIVITIES, BUT AT THE SAME TIME, SUCH SATISFACTION IS OBJECTIVE IN NATURE. TH E LD.DIT(E) WHILE REJECTING THE APPLICATION OF THE ASSESSEE HAS NOWHE RE MENTIONED THAT HE WAS NOT SATISFIED WITH THE OBJECTS OF THE T RUST OR GENUINENESS OF ITS ACTIVITIES. KEEPING IN VIEW, THE TOTALITY OF FACTS, WE DIRECT THE LD. DIT(E) TO ADJUDICATE THE APPLICAT ION OF THE ASSESSEE AFRESH AND DECIDE IN ACCORDANCE WITH LAW A FTER CONSIDERING THE FOLLOWING DECISIONS. I. S.H.GOWDA CHARITABLE TRUST VS DIT(E) (2006) 156 TAX MAN 466 (KAR.), II. CIT VS RED ROSE SCHOOL (2007) 163 TAXMAN 19 (ALL.), III. CIT VS SPRING DEL EDUCATION SOCIETY (16 TAXMAN. COM 285/(2012) 204 TAXMAN.11, IV. FIFTH GENERATION EDUCATION SOCIETY VS CIT (185 ITR 635) (ALL.) DIT VS FOUNDATION OF OPTHALAMIC OPTOMETRY RESEARCH EDUCATION CENTRE 254 CTR 133 (DEL.) THE ASSESSEE IS ALSO DIRECTED TO APPEAR BEFORE THE LD. DIT(E) ON A MUTUALLY AGREED DATE AND FURTHER DIRECTED TO F URNISH THE 4 SURAJGARH VIKAS SABHA CHARITABLE TRUST . NECESSARY DETAILS AS REQUIRED BY THE CONCERNED AUTH ORITY. THE ASSESSEE BE GIVEN OPPORTUNITY OF BEING HEARD WITH F URTHER LIBERTY TO FURNISH EVIDENCE, IF ANY, TO SUBSTANTIATE ITS CLAIM . FINALLY, APPEAL OF THE ASSESSEE IS ALLOWED FOR STAT ISTICAL PURPOSES. THIS ORDER WAS PRONOUNCED IN THE OPEN COURT IN THE PRESENCE OF LD. REPRESENTATIVES FROM BOTH SIDES AT THE CONCLUSION OF THE HEARING ON 17/12/2014. SD/- SD/- (R.C.SHARMA) (JO GINDER SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED - 17/12/2014 F{X~{T? P.S/. ! . . & && & +$, +$, +$, +$, -,'$ -,'$ -,'$ -,'$ / COPY OF THE ORDER FORWARDED TO : 1. ./ / THE APPELLANT 2. +0./ / THE RESPONDENT. 3. 1 ( ) / THE CIT(A)- 4. 1 / CIT 5. ,23 +$! , , / DR, ITAT, MUMBAI 6. 34 5 / GUARD FILE. ! ! ! ! / BY ORDER, 0,$ +$ //TRUE COPY// 6 66 6 / 7 7 7 7 % % % % (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI