Anan Bhuyan Trust, Kolkata V. DIT, Exemption, Kolkata, Kolkata

ITA 1929/KOL/2010

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 48193 (ITAT-KOLKATA)
• Duration Of Justice: 7 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-06-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 07-06-2011
• Assessment Year: 2010-2011
• Appeal Filed On: 12-10-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B R PURAKAYASTHA
• Assessee Lawyers: SOMNATH GHOSH
• Section: 12; 12AA

Judgement Text

, , , IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH-B: KO LKATA ( ) . . , , . . , ,) [BEFORE HONBLE SHRI B.R. MITTAL, J.M. & HONBLE SH RI C.D. RAO, A.M] ! ! ! ! /I.T.A. NOS. 1929 & 1937/KOL./2010 ANAN BHUYAN TRUST, KOLKATA -VS. - DIRECTOR OF INCOME TAX (EXEMPTION), (PAN : AACTA 5026 E) KOLKATA (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI SOMNATH GHOSH, A.R. RESPONDENT BY : SHRI B.R. PURAKAYASTHA, D.R. # # # # /O R D E R PER SHRI B. R. MITTAL, JUDICIAL MEMBER / . . , : THE ASSESSEE-TRUST HAS FILED THESE TWO APPEALS AGA INST A COMMON ORDER OF LD. DIRECTOR OF INCOME TAX (EXEMPTION), KOLKATA DATED 24.02.2010 VIDE WHICH LD. DIT(EXEMPTION) HAS REJECTED THE APPLICATION OF THE ASSESSEE FOR REGIST RATION OF TRUST UNDER SECTION 12AA OF THE ACT AND ALSO REJECTED PRAYER FOR EXEMPTION UNDER SECTIO N 80G(5)(VI) OF THE ACT. 2. THE APPEAL BEING ITA NO. 1929/KOL./2010 RELATES TO REJECTING THE APPLICATION FOR REGISTRATION UNDER SECTION 12AA OF THE ACT AND WHER EAS ITA NO. 1937/KOL./2010 RELATES TO ORDER REJECTING EXEMPTION UNDER SECTION 80G(5)(VI) OF THE ACT. 3. AT THE TIME OF HEARING, LD. AUTHORIZED REPRESENT ATIVE OF THE ASSESSEE SUBMITTED THAT THE ASSESSEE FILED APPLICATION DATED 15.10.2009, COPY P LACED AT PAGE 14 OF THE PAPER BOOK, ONLY FOR REGISTRATION OF THE ASSESSEE-TRUST UNDER SECTION 12 AA OF THE ACT AND THERE WAS NO APPLICATION FILED BY THE ASSESSEE FOR GRANT OF EXEMPTION UNDER SECTION 80G(5)(VI) OF THE ACT. HE SUBMITTED THAT THE ORDER PASSED BY LD. DIT (EXEMPTION) FOR RE JECTING PRAYER FOR EXEMPTION UNDER SECTION 80G(5)(VI) IS NOT VALID. ITA NOS. 1929 & 1937/KOL.2010 2 4. LD. DIT(EXEMPTION) HAS STATED IN THE IMPUGNED OR DER DATED 24.02.2010 THAT ASSESSEE WAS ASKED TO PRODUCE THE EVIDENCES OF ACTIVITIES DO NE TILL DATE AND ON PERUSAL OF PAPERS, IT IS SEEN THAT NO CHARITABLE WORK DONE TILL DATE AND THE SETTLER OF THE TRUST IS RUNNING THE TRUST FROM HIS RESIDENCE. HENCE, APPLICATION OF THE ASSESSEE F OR REGISTRATION UNDER SECTION 12AA HAS BEEN REJECTED. 5. AT THE TIME OF HEARING, LD. AR SUBMITTED THAT TH E ASSESSEE-TRUST HAS BEEN REGISTERED VIDE DEED OF INDENTURE DATED 15.01.2009, COPY PLACED AT PAGES 20 TO 37 OF THE PAPER BOOK. HE SUBMITTED THAT LD. DIT(EXEMPTION) HAS NOT DISPUTED THE OBJECTS OF THE ASSESSEE-TRUST THAT IT IS CHARITABLE IN NATURE FOR PUBLIC PURPOSES. HE SUBMIT TED THAT AT THE TIME OF REGISTRATION, LD. DIT(EXEMPTION) HAS TO SEE AS TO WHETHER THE OBJECTS OF THE ASSESSEE-TRUST ARE CHARITABLE FOR PUBLIC PURPOSES OR NOT. HE SUBMITTED THAT THE GROUN D, ON WHICH LD. DIT (EXEMPTION) HAS REJECTED THE APPLICATION, IS NOT VALID. HE FURTHER SUBMITTED THAT THE ASSESSEE FILED ALL THE REQUISITE DETAILS BEFORE LD. DIT (EXEMPTION) AS CAL LED FOR AND TO SUBSTANTIATE HIS SUBMISSION REFERRED LETTER DATED 11.12.2009, COPY PLACED AT PA GES 6 TO 8 OF THE PAPER BOOK. HE SUBMITTED THAT THE SAID LETTER WAS FILED BY THE ASSESSEE-TRUS T IN REPLY TO THE INFORMATION CALLED FOR VIDE LETTER DATED 20.11.2009 AND REFERRED PAGES 12 TO 13 OF THE PAPER BOOK, WHICH IS A COPY OF THE SAID LETTER FROM THE OFFICE OF ADIT(EXEMPTION). LD. AR SUBMITTED THAT LD. DIT(EXEMPTION) HAS NOT PASSED A SPEAKING ORDER AND THE SAID ORDER HAS BEEN PASSED WITHOUT CONSIDERING THE NATURE OF THE DETAILS FILED BEFORE HER AS WELL AS THE OBJE CTS OF THE ASSESSEE. HE SUBMITTED THAT THE SAID ORDER OF LD. DIT(EXEMPTION) BE QUASHED. 6. ON THE OTHER HAND, LD. D.R. RELIED ON THE ORDER OF LD. DIT (EXEMPTION). 7. ON CONSIDERATION OF THE SUBMISSIONS OF LD. REPRE SENTATIVES OF THE PARTIES AND THE ORDER OF LD. DIT(EXEMPTION) AND THE LIGHT OF THE DOCUMENTS P LACED ON RECORD, WE FIND MERIT IN THE CONTENTION OF LD. AR THAT LD. DIT(EXEMPTION) AT THE TIME OF REGISTRATION OF THE TRUST HAS NOT COMMENTED UPON AS TO WHETHER THE OBJECTS OF THE ASS ESSEE-TRUST ARE CHARITABLE IN NATURE FOR PUBLIC PURPOSES OR NOT. SINCE THE ASSESSEE-TRUST IS REGISTERED VIDE DEED OF INDENTURE DATED 15.01.2009, WE ARE OF THE CONSIDERED VIEW THAT THE GROUNDS TAKEN BY LD. DIT(EXEMPTION) THAT THE ASSESSEE HAS NOT STARTED ITS ACTIVITIES TILL DA TE AND CARRYING ON TRUST FROM THE RESIDENCE OF ITA NOS. 1929 & 1937/KOL.2010 3 SETTLER ARE NOT RELEVANT ON THE BASIS OF WHICH APPL ICATION FOR REGISTRATION OF THE ASSESSEE-TRUST COULD BE REJECTED. WE AGREE WITH LD. AR THAT THE IM PUGNED ORDER OF LD. DIT(EXEMPTION) IS NOT A SPEAKING ORDER. HENCE, WE SET ASIDE THE ABOVE ORDER OF LD. DIT(EXEMPTION) AND RESTORE THE MATTER TO HER FILE WITH A DIRECTION THAT DIT(EXEMPT ION) WILL PASS A SPEAKING ORDER AFTER CONSIDERING THE DOCUMENTS AS FURNISHED BEFORE HER A ND AFTER GIVING DUE OPPORTUNITY OF HEARING. HENCE, THE GROUNDS OF APPEAL TAKEN BY THE ASSESSEE IN ITA NO. 1929/KOL./2010 ARE ALLOWED FOR STATISTICAL PURPOSES. 8. AT THE TIME OF HEARING, LD. AR SUBMITTED THAT HE DOES NOT PRESS FOR APPEAL BEING ITA NO. 1937/KOL./2010 IF THE MATTER IS RESTORED TO LD. DIT(EXEMPTION) FOR HER RE-CONSIDERATION OF THE APPLICATION OF ASSESSEE FOR REGISTRATION. 9. IN VIEW OF THE ABOVE, THE APPEAL OF THE ASSESSEE BEING ITA NO. 1929/KOL./2010 IS ALLOWED FOR STATISTICAL PURPOSES AND WHEREAS APPEAL BEING ITA NO. 1937/KOL./2010 IS DISMISSED AS WITHDRAWN. ORDER PRONOUNCED IN THE OPEN COURT ON 07.06. 2011. SD/- SD/- [C. D. RAO ( . . )] [ B.R . MITTAL / . . ] ACCOUNTANT MEMBER/ JUDICIAL MEMBER/ ] DATED : 07/ 06/ 2011 COPY OF THE ORDER FORWARDED TO: 1. SHRI ANAN BHUYAN TRUST, KOLKATA, 422/1, LAKE GARDEN S, KOLKATA-45. 2. DIT(EXEMPTION), KOLKATA, 10B, MIDDLETON ROW, 6 TH FLOOR, KOLKATA-71. 3 . CIT- , KOLKATA 4 . DR, KOLKATA BENCHES, KOLKATA (TRUE COPY) BY ORDER ASSISTANT REGISTRAR I.T.A.T., KOLKATA. LAHA, SR. P.S.