M/s Vijaya Vaanijya Alumni , Bangalore V. Commissioner of Income Tax (Exemptions) , Bangalore

ITA 1941/BANG/2017

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 2320 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 8 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-06-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2017-2018
• Appeal Filed On: 28-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: E S NAGENDRA PRASAD
• Assessee Lawyers: M KRISHNAMURTHY
• Keywords: Opportunity of being heard; Set aside
• Section: 80G; 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI B.R BASKARAN, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA NO.1941/BANG/2017 ASSESSMENT YEAR : 2017-18 M/S VIJAYA VAANIJYA ALUMNI, REGISTERED OFFICE : PALESTRA #18, 20 TH MAIN, 37 TH CROSS, 4 TH BLOCK, JAYANAGAR, BENGALURU-560 041. PAN AACTV 1008 K. VS. THE COMMISSIONER OF INCOME-TAX (EXEMPTION), BENGALURU. APPELL ANT RESPONDENT ASSESSEE BY : SHRI M KRISHNAMURTHY, C.A REVENUE BY : SHRI E.S NAGENDRA PRASAD, CIT DATE OF HEARING : 20.06.2019 DATE OF PRONOUNCEMENT : .06.2019 O R D E R PER B.R BASKARAN, ACCOUNTANT MEMBER THE APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAIN ST THE ORDER DATED 24/7/2017 PASSED BY LD CIT(EXEMPTION),BENGALURU REJ ECTING THE APPLICATION FILED BY THE ASSESSEE SEEKING RECOGNITION U/S 80G O F THE INCOME-TAX ACT 1961 (THE ACT). 2. WE HAVE HEARD THE PARTIES AND PERUSED THE RECORD . WE NOTICED THAT THE ASSESSEE HAS BEEN GRANTED REGISTRATION U/S 12AA OF THE ACT, VIDE ORDER ITA NO.1941/BANG/2017 PAGE 2 OF 4 DATED 26/9/2016 AND PASSED BY LD CIT(E) IN FILE NO. CIT(E)BLR/12A/N- 349/AACTV1008K/ITO(E)-2/VOL 2016-2017 DATED 26/9/20 16. 3. AFTER RECEIPT OF REGISTRATION U/S 12AA OF THE AC T, THE ASSESSEE TRUST APPLIED BEFORE LD CIT(E) SEEKING RECOGNITION U/S 80 G OF THE ACT. HOWEVER, THE LD CIT(E) REJECTED THE APPLICATION BY OBSERVING THAT THE ASSESSEE TRUST IS EXISTING FOR THE BENEFIT OF SPECIFIED TARGETED G ROUP VIZ., ALUMNI BATCHES OF VIJAYA COLLEGE STUDENTS. ACCORDINGLY HE TOOK THE VIEW THAT ASSESSEE SHOULD NOT BE GRANTED RECOGNITION U/S 80G OF THE AC T AND ACCORDINGLY REJECTED THE APPLICATION FILED BY THE ASSESSEE. 4. WE HAVE ALREADY NOTICED THAT THE ASSESSEE HAS BE EN GRANTED REGISTRATION U/S 12AA OF THE ACT. PROVISIONS OF SE C. 80G(5)(IV) STATE THAT THE REGISTRATION U/S 80G IS GRANTED BY THE COMMISSIONER IN ACCORDANCE WITH THE RULES MADE IN THIS BEHALF. RULE 11AA PRESCRIBES TH E PROCEDURE TO BE FOLLOWED FOR GRANTING RECOGNITION U/S 80G OF THE AC T. WE NOTICED THAT THE LD CIT(A) HAS NOT REFERRED TO PROVISIONS OF RULE 11AA OF THE I T RULES IN ORDER TO EXAMINE THE APPLICATION FILED BY THE ASSESSEE. HENCE, WE ARE OF THE VIEW THAT THE REASONS CITED BY THE LD CIT(A) FOR RE JECTING THE APPLICATION OF THE ASSESSEE IS NOT IN ACCORDANCE WITH RULE 11AA OF THE ACT. ACCORDINGLY WE SET ASIDE THE ORDER PASSED BY THE LD CIT(E) AND RESTORE THE SAME TO HIS FILE FOR EXAMINING THE APPLICATION OF THE ASSESSEE AFRESH, AFTER AFFORDING ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE . ITA NO.1941/BANG/2017 PAGE 3 OF 4 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH JUNE, 2019. SD/ - (PAVAN KUMAR GADALE) JUDICIAL MEMBER SD/ - (B.R BASKARAN) ACCOUNTANT MEMBER BANGALORE, DATED, 20 JUNE, 2019. / VMS / COPY TO: 1. THE APPLICANT 2. THE RESPONDENT 3 . THE CIT 4. THE CIT(A) 5. THE DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER A SST. REGISTRAR, ITAT, BANGALORE. ITA NO.1941/BANG/2017 PAGE 4 OF 4 1. DATE OF DICTATION 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER . 3. DATE ON WHICH THE APPROVED DRAFT COMES TO SR.P.S .. 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER .. 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE S R. P.S. .. 6. DATE OF UPLOADING THE ORDER ON WEBSITE.. 7. IF NOT UPLOADED, FURNISH THE REASON FOR DOING SO .. 8. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK .. 9. DATE ON WHICH ORDER GOES FOR XEROX & ENDORSEMENT 10. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK . 11. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER . 12. THE DATE ON WHICH THE FILE GOES TO DISPATCH SEC TION FOR DISPATCH OF THE TRIBUNAL ORDER . 13. DATE OF DESPATCH OF ORDER. ..