Sarvankash Shikshan Trust, Ratnagiri V. Commissioner of Income-tax, (Exemption), Pune

ITA 1718/PUN/2019

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 3819 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 3 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-03-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2019-2020
• Appeal Filed On: 11-11-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Charitable institution; Additional evidence
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, J UDICIAL MEMBER . / ITA NO. 1718 /PUN/201 9 SARVANKASH SHIKSHAN TRUST, PLOT NO. FP - 1, MIDC, MIRJOLE BLOCK, DISTT. - RANGAGIRI 415639 PAN : AAUTS0019D ....... / APPELLANT / V/S. CIT - EXEMPTION, PUNE / RESPONDENT ASSESSEE BY : SHRI SUHAS BORA REVENUE BY : SHRI DEEPAK GARG / DATE OF HEARING : 2 5 - 02 - 2021 / DATE OF PRONOUNCEMENT : 03 - 0 3 - 2021 / ORDER PER S.S. VISWANETHRA RAVI, JM : THIS APPEAL BY THE ASSESSEE AGAINST THE ORDER DATED 25 - 09 - 2019 PASSED BY THE COMMISSIONER OF INCOME TAX ( EXEMPTION), PUNE [CIT( E XEMPTION )] . 2. THE ONLY ISSUE IS TO BE DECIDED IS AS TO WHETHER THE CIT( EXEMPTION) JUSTIFIED IN REJECTING THE APPLICATION FILED U/S. 12AA OF THE ACT. 2 ITA NO . 1718/PUN/2019 3. HEARD BOTH THE PARTIES AND PERUSED THE MATERIAL AVAILABLE ON RECORD. WE NOTE THAT THE ASSESSEE IS A PUBLIC CHARITABLE TRUST REGISTERED UNDER BOMBAY PUBLIC TR UST ACT, 1950 VIDE REGISTRATION DATED 15 - 09 - 2017. IT IS NOTED THAT THE MAIN OBJECT OF THE TRUST IS ENCOURAGEMENT AND ADVANCEMENT OF EDUCATION THROUGH THE SETTING UP OF SCHOOLS AND EDUCATIONAL INSTITUTIONS. THE ASSESSEE FILED FORM NO. 10A SEEKING REGISTRA TION U/S. 12AA OF THE ACT THROUGH ON - LINE ON 28 - 03 - 2019. THE CIT(EXEMPTION) ASKED THE ASSESSEE TO FURNISH VARIOUS DOCUMENTS AND IN RESPONSE TO WHICH AS IT IS EMANATING FROM THE RECORDS THAT THE ASSESSEE FILED ALL THE INFORMATION AS SOUGHT BY THE CIT(EXEMP TION). THE CIT(EXEMPTION) REJECTED THE SAID APPLICATION TAKING INTO CONSIDERATION THE REJECTION OF EARLIER ORDER DATED 27 - 09 - 2018 IN ASSESSEES OWN CASE. 4. THE LD. AR, SHRI SUHAS BORA SUBMITS THAT THE ASSESSEE FILED VARIOUS ADDITIONAL DOCUMENTS SUCH A S AUDITED FINANCIAL STATEMENTS, REVISED LEASE AGREEMENT BETWEEN MR. ARJUN GADRE AND GADRE F OUNDATION, REVISED LEASE AGREEMENT BETWEEN GADRE FOUNDATION AND SARVANKASH SHIKSHAN TRUST. HE ALSO SUBMITS THAT THERE IS NO TRANSFER OF FUNDS FROM THE ASSESSEE TO G ADRE FOUNDATION AND FROM GADRE FOUNDATION TO MR. ARJUN GADRE AND THAT THE GADRE FAMILY MEMBERS ARE FULFILLING THEIR SOCIAL OBLIGATION BY RUNNING A SCHOOL AND DID NOT MAKE A SINGLE RUPEE OUT OF SUCH ACTIVITY. 5. THE LD. AR SUBMITS THAT THE ADDITIONAL DET AILS WERE ALSO SUBMITTED BEFORE THE CIT(EXEMPTION) VIDE LETTER DATED 23 - 09 - 2019 REQUESTED TO CONSIDER THE APPLICATION FAVOURABLY ON MERITS. THE CIT(EXEMPTION) DID NOT CONSIDER THE SAME AND REFERRED TO PAGE NOS. 66 TO 104 OF THE PAPER BOOK AND ARGUED THE A DDITIONAL DOCUMENTS ARE NECESSARY FOR THE CONSIDERATION 3 ITA NO . 1718/PUN/2019 OF GRANTING REGISTRATION U/S. 12AA OF THE ACT AND PRAYED TO REMAND THE MATTER BACK TO THE FILE OF CIT( EXEMPTION) FOR ITS FRESH CONSIDERATION IN RESPECT OF ADDITIONAL DOCUMENTS FILED FROM PAGE NOS. 66 TO 104 OF THE PAPER BOOK. WE NOTE THAT THE ASSESSEE FILED ADDITIONAL DETAILS ON 23 - 09 - 2019 WHEREAS THE CIT(EXEMPTION) PASSED REJECTION ORDER ON 25 - 09 - 2019 I.E. WITHIN TWO DAYS. THEREFORE, IT APPEARS AS CONTENDED BY THE LD. AR IS THAT THE CIT(EXEMPTION) D ID NOT LOOK INTO THE ADDITIONAL DOCUMENTS RELATING TO AUDITED FINANCIAL STATEMENTS AND REVISED LEASE AGREEMENT AS IT NOTED FROM THE IMPUGNED ORDER IN PARA NO. 5 THAT THE APPLICATION U/S. 12AA OF THE ACT WAS REJECTED ONLY ON THE GROUND THAT THE ASSESSEE DID NOT PRODUCE ANY NEW FACTS FOR CONSIDERATION OF APPLICATION U/S. 12AA OF THE ACT. 6. THE LD. DR, SHRI DEEPAK GARG SUBMITS THAT THE ASSESSEE COULD NOT PRODUCE ANY NEW FACTS IN THE PRESENT APPLICATION AND CIT(EXEMPTION) ALSO DISCUSSED THE FACTS RELATING T O EARLIER APPLICATION WITH CURRENT PROCEEDINGS IN DETAIL IN THE IMPUGNED ORDER BUT HOWEVER REPORTED NO OBJECTION IN REMANDING THE MATTER TO THE FILE OF CIT(EXEMPTION) FOR ITS FRESH CONSIDERATION IN VIEW OF THE FACT THAT THERE WERE ADDITIONAL DOCUMENTS FILE D FROM PAGE NOS. 66 TO 104 OF THE PAPER BOOK. 7. AS DISCUSSED ABOVE, THE CIT(EXEMPTION) IN ITS IMPUGNED ORDER THERE IS NO REFERENCE TO ADDITIONAL DOCUMENTS FILED ON 23 - 09 - 2019 BUT HOWEVER IN PARA NO. 5 REJECTED THE APPLICATION ONLY ON THE FINDING AS RECORDED IN EARLIER APPLICATION. THEREFORE, CONSIDERING THE FACTS AND CIRCUMSTANCES OF THE CASE AND SUBMISSIONS OF THE LD. AR AND LD. DR AND ADDITIONAL DOCUMENTS FILED AT PAGE NOS. 66 TO 104 OF THE PAPER BOOK, WE DEEM IT PROPER TO REMAND THE MATTER BACK T O THE FILE OF CIT(EXEMPTION) FOR ITS FRESH 4 ITA NO . 1718/PUN/2019 CONSIDERATION. THE ASSESSEE IS LIBERTY TO FILE ADDITIONAL EVIDENCES, IF ANY, IN SUPPORT OF ITS CLAIM. THUS, THE GROUNDS RAISED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSE. 8. IN THE RESULT, THE APPEAL OF ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON 03 RD MARCH, 2021. SD/ - SD/ - ( INTURI RAMA RAO ) ( S.S. VISWANETHRA RAVI ) ACCOUNTANT MEMBER JUDICIAL MEMBER / PUNE; / DATED : 03 RD MARCH, 2021. RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. THE CIT( EXEMPTION), PUNE 4 . , , , / DR, ITAT, B BENCH, PUNE. 5 . / GUARD FILE. // // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT , PUNE