Maa Jagat Janani Education , Nabarangpur V. C.I.T.(EXEMPTIONS), Hyderabad

ITA 180/CTK/2019

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 3090 (ITAT-CUTTACK)
• Duration Of Justice: 5 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-11-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: misc
• Appeal Filed On: 04-06-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: P K MISHRA
• Keywords: Charitable institution; Opportunity of being heard
• Section: 12A

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK BEFORE SHRI C.M. GARG, JM & SHRI L.P. SAHU, AM . / ITA NO. 180 /CTK/201 9 ( / ASSESSMENT YEAR : 2019 - 2020 ) MAA JAGAT JANANI EDUCATIONAL & C HARITABLE TRUST, VALISALGUDA, DIST - NABARANGPUR - 764059 VS. CIT(EXEMPTIONS), HYDERABAD ./ PANNO. : A A ETM 5338 B ( / APPELLANT ) .. ( / RESPONDENT ) /ASSESSEE BY : SHRI P.K.MISHRA, ADVOCATE /REVENUE BY : SHRI S.M.KESHKAMAT, CITDR / DATE OF HEARING : 1 5 / 1 1 /2019 / DATE OF PRONOUNCEMENT : 19 / 1 1 /2019 / O R D E R PER L.P.SAHU , A M : THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE ORDER OF COMMI SSIONER OF INCOME TAX ( EXEMPTIONS ), HYDERABAD , DATED 26.04.2019 PASSED U/S. 12AA(1)(B)(II) OF THE ACT, 1961. 2. THE SOLE ISSUE INVOLVED IN THIS APPEAL IS WITH REGARD TO REJECTION OF APPLICATION FILED BY THE ASSESSEE FOR REGISTRATION U/S. 12A A OF THE ACT. 3 . THE ASSESSEE FILED AN APPLICATION IN FORM 10 A SEEKING REGISTRATION U/S.12A OF THE ACT ON 29.10.2018, WHICH WAS REJECTED BY THE CIT(E) HOLDING THAT THE ASSESSEE HAS VIOLATED RULE 17A OF I.T.RULES, 1962 AS THE GENUINENESS OF THE ACTIVITIES OF THE TRUST COU LD NOT BE ITA NO. 180 /CTK/201 9 2 VERIFIED IN ABSENCE OF BILLS/VOUCHERS AND BOOKS OF ACCOUNTS AND , THEREFORE, THE ASSESSEE IS NOT ELIGIBLE FOR THE SAME. 4. LD. AR BEFORE US SUBMITTED THAT NO NOTICE WAS SERVED ON THE ASSESSEE TRUST, HOWEVER, AN E - MAIL WAS RECEIVED ON 18.04.2019 RE GARDING FIXING OF THE CASE AND BY THAT TIME THE CHARTERED ACCOUNTANT OF THE ASSESSEE - TRUST WAS OUT OF STATION, THEREFORE, HE COULD NOT PRODUCE THE NECESSARY CONNECTED EVIDENCES FOR WANT OF PROPER OPPORTUNITY OF BEING HEARD . IT WAS ALSO THE CONTENTION OF LD . AR THAT H AD THE EFFECTIVE OPPORTUNITY OF HEARING BEEN GIVEN TO THE ASSESSEE, IT COULD HAVE PRODUCED EVIDENCES IN SUPPORT OF ITS CLAIM AND WOULD HAVE EXPLAINED ITS CLAIM THAT THE ASSESSEE IS A CHARITABLE ORGANIZATION AND CERTAINLY ENTITLED FOR REGISTRATIO N U/S.12A OF THE ACT. THEREFORE, LD. AR SUBMITTED THAT CIT(E) MAY KINDLY BE DIRECTED TO GRANT THE APPLICATION OF THE ASSESSEE FOR REGISTRATION U/S.12A OF THE ACT AFTER PROVIDING SUFFICIENT OPPORTUNITY OF HEARING TO THE ASSESSEE. 5 . ON THE OTHER HAND, LD. D R SUPPORTED THE ORDER OF CIT(EXEMPTION) . 6 . WE HAVE HEARD RIVAL SUBMISSIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. THE SOLE DISPUTED ISSUE IS WITH RESPECT TO THE REJECTION OF APPLICATION FOR GRANT OF REGISTRATION U/S.12A OF THE ACT . ON PERUSAL OF THE IMPUGNED ORDER, WE FIND THAT THE CIT(E) HAS REJECTED THE APPLICATION OF THE ASSESSEE ON ACCOUNT OF NON - COMPLIANCE. NOW, BEFORE US, LD. AR SUBMITTED THAT THE ASSESSEE WAS HAVING ALL THE REQUIRED ITA NO. 180 /CTK/201 9 3 DOCUMENTS/EVIDENCES, HOWEVER, IN ABSENCE OF GRANT OF ANY O PPORTUNITY OF HEARING BY THE CIT(E), THE ASSESSEE COULD NOT FURNISH THE EVIDENCES IN SUPPORT OF ITS CLAIM THAT THE ASSESSEE IS A CHARITABLE ORGANIZATION AND ENTITLED FOR REGISTRATION U/S.12A OF THE ACT. DURING THE COURSE OF HEARING, LD. AR ALSO DREW OUR AT TENTION TO THE OBJECT CLAUSE OF THE TRUST IN THE TRUST DEED CONTAINED AT ANNEXURE - 5, PAGES 1 TO 9 OF THE PAPER BOOK. LD. AR ALSO DREW OUR ATTENTION TO THE ANNEXURE - 6, PAGE 5 OF THE PAPER BOOK WHICH CONTAINS INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDIN G 31.03.2018. THE ABOVE DOCUMENTS WERE NOT PRODUCED BY THE ASSESSEE BEFORE THE CIT(E) RESULTING INTO REJECTION OF THE APPLICATION FOR GRANT OF REGISTRATION. ACCORDINGLY, IN THE INTEREST OF JUSTICE, WE DIRECT THE CIT(E) TO VERIFY THE DOCUMENTS/EVIDENCE S TO BE FURNISHED BY THE ASSESSEE TO SUBSTANTIATE ITS CLAIM AFTER PROVIDING REASONABLE OPPORTUNITY OF HEARING. THE ASSESSEE IS ALSO DIRECTED TO COOPERATE WITH THE CIT(E) IN EARLY DISPOSAL OF THE CASE. THUS, THE SOLE GROUND RAISED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. 7 . IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 19 /1 1 /2019. S D/ - ( C.M.GARG ) SD/ - (L.P.SAHU) / JUDICIAL MEMBER / ACCOU NTANT MEMBER CUTTACK; DATED 19 / 11 /201 9 PRAKASH KUMAR MISHRA, SR.P.S. ITA NO. 180 /CTK/201 9 4 / COPY OF THE ORDER FORWARDED TO : / BY ORDER, ( SENIOR PRIVATE SECRETARY ) ITAT CUTTACK BENCH, CUTTACK 1. / THE APPELLANT - MAA JAGAT JANANI EDUCATIONAL & CHARITABLE TRUST, VALISALGUDA, DIST - N ABARANGPUR - 764059 2. / THE RESPONDENT - CIT(EXEMPTIONS), HYDERABAD 3. ( ) / THE CIT(A), 4. / CIT 5. , , / DR, ITAT, CUTTACK 6. / GUARD FILE. //TRU E COPY//