Chandrawati Charitable Trust, Varanasi V. Commissioner of Income Tax (Exemption), Lucknow

ITA 2/VNS/2021

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 9425 (ITAT-VARANASI)
• Duration Of Justice: 8 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-09-2021
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: DB
• Assessment Year: 2020-2021
• Appeal Filed On: 06-01-2021
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SHEELA CHOPRA
• Keywords: Charitable institution
• Section: 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CIRCUIT BENCH VARANASI [Through Virtual Hearing] BEFORE SHRI A.D. JAIN, VICE PRESIDENT AND SHRI T.S. KAPOOR, ACCOUNTANT MEMBER ITA No.02/Vns/2021 Assessment Year NA CIT(Exemption) Lucknow Vs. Chandrawati Charitable Trust, R/o H.No.SA 3/184, DR Kamla Nagar, Dulhipur, Pandeypur, Varanasi 221002 PAN- AACTC 5728K (Respondent) (Appellant) Shri O.P. Shukla, Advocate Appellant by Smt. Sheela Chopra, CIT(DR) Respondent by 01/09/2021 Date of hearing 15/09/2021 Date of pronouncement O R D E R PER: T.S. KAPOOR, A.M: This appeal has been filed by the assessee against the order of Id. CIT(E), Lucknow dated 22.12.2020. The assessee has taken various grounds of appeal, however, crux of grounds of appeal is the action of ld. CIT(E) by which he has refused to grant registration to the assessee u/s. 12A of the Act. 2. The ld. AR of the assessee at the outset submitted that the assessee had filed all the information required by the CIT(E) and he without confronting his observations on the material rejected the application of the assessee without requiring the assessee to explain his observations. Therefore, it was prayed that another opportunity may be given to the assessee to represent its case before the ld. CIT(E). 2 ITA No.02/Vns/2021 3. The ld. CIT, DR on the other hand relied on the orders of ld. CIT(E) and agreed with the request of assessee for setting aside the order of ld. CIT(E) to him for reconsideration. 4. We have heard the rival parties and have perused the material placed on record. We find that the ld. CIT(E) has noted that the assessee had not filed any evidence of any charitable activities and has further held that the corpus declared by the assessee should be part of income before the registration is granted u/s 12A of the Act. He further held in para 6 that the assessee had not filed necessary corroborating evidences from where satisfaction regarding the genuineness of the activities of the applicant can be arrived at. We find that while making his observation he should have given one opportunity to the assessee to explain regarding his observation which he has not done, therefore, we deem it appropriate to remit this issue back to the CIT(E) who should pass a fresh order after giving reasonable opportunity be given to the assessee. 5. In the result, appeal filed by the assessee is allowed for statistical purposes. (Order pronounced in the open court on /09/2021 in accordance with Rule 34(4) of the I.T.A.T. Rules.) Sd/- Sd/- (A.D. JAIN) (T.S. Kapoor) Vice President Accountant Member Aks – Dtd. 15/09/2021 Copy of order forwarded to: (1) The appellant (2) The respondent (3) Commissioner (4) CIT(A) (5) Departmental Representative (6) Guard File Assistant Registrar