All Gujarat Innovation Society(Trust), Ahmedabad V. The DIT.,Exemption, Ahmedabad

ITA 224/AHD/2013

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 67879 (ITAT-AHMEDABAD)
• Duration Of Justice: 9 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-10-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 24-10-2013
• Assessment Year: misc
• Appeal Filed On: 24-01-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: O P VAISHNAV
• Assessee Lawyers: PF JAIN
• Section: 80G

Judgement Text

ITA NO 224/ AHD/2013 . A.Y. N.A. 1 IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, AHMEDABAD (BEFORE SHRI D.K. TYAGI, J.M. & SHRI ANIL CHATURVE DI, A.M.) I.T. A. NO. 224 /AHD/2013 (ASSESSMENT YEAR: N.A.) ALL GUJARAT INNOVATION SOCIETY 402, 4 TH FLOOR, SHEEL, 4, MAYUR COLONY, NAVRANGPURA, NR. MITHAKALI SIX ROAD, AHMEDABAD- 380009 V/S THE DIRECTOR OF INCOME-TAX (EXEMPTION), AHMEDABAD (APPELLANT) (RESPONDENT) PAN: AADTA 3019N APPELLANT BY : SHRI P.F. JAIN RESPONDENT BY : SHRI O.P. VAISHNAV, CIT, D.R. ( )/ ORDER DATE OF HEARING : 24-10-201 3 DATE OF PRONOUNCEMENT : 31 -10-2013 PER SHRI ANIL CHATURVEDI,A.M. 1. THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE OR DER OF D.I.T(E), AHMEDABAD DATED 21.11.2012. 2. THE FACTS AS CULLED OUT FROM THE MATERIAL ON RECORD ARE AS UNDER. ITA NO 224/ AHD/2013 . A.Y. N.A. 2 3. ASSESSEE A TRUST, MADE AN APPLICATION FOR RECOGNITI ON FOR EXEMPTION U/S. 80G(5) OF THE ACT BEFORE DIRECTOR OF INCOME-TAX(E). DIT(E) ON PERUSING THE TRUST DEED OF THE ASSESSEE INTERALIA WAS OF THE VIEW THAT THE TRUST DEED DID NOT HAVE A CLAUSE WHICH INDICATED THAT THE TRUS T CANNOT BE DISSOLVED AND IT IS PERPETUAL. HE WAS FURTHER OF THE VIEW THA T AS PER THE PROCEDURE OF BOMBAY PUBLIC TRUST ACT, IN CASE THE ACTIVITIES OF THE TRUST CANNOT BE CARRIED OUT, THE ASSETS HAVE TO BE TRANSFERRED TO A NOTHER TRUST CARRYING ON SIMILAR ACTIVITIES. IN THE CASE OF ASSESSEE, SINCE THERE WAS NO SUCH CLAUSE IN THE DEED, DIT(E) DENIED THE APPROVAL U/S. 80G OF THE ACT. AGGRIEVED BY THE ORDER OF DIT(E), THE ASSESSEE IS NOW IN APPE AL BEFORE US. 4. BEFORE US AT THE OUTSET, THE LD. A.R. SUBMITTED THA T THE TRUST DEED INDEED CONTAINED A CLAUSE WHEREIN IT WAS STATED THAT THE A DMINISTRATION OF THE TRUST CAN BE HANDED OVER TO OTHER INSTITUTION/GOVT. HAVING SIMILAR OBJECTS. HE PLACED ON RECORD THE FREE ENGLISH TRANSLATION OF CLAUSE 24 OF THE TRUST DEED. HE THEREFORE SUBMITTED THAT THE ASSESSEE BE GRANTED APPROVAL U/S. 80G. THE LD. D.R. ON THE OTHER HAND SUPPORTED THE ORDER OF DIT(E). 5. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD. WE FIND THAT DIT(E) REFUSED THE REGISTRATION TO THE TRUST FOR THE REASON THAT THERE WAS NO CLAUSE WITH RESPECT TO TRANSFERRI NG THE ASSETS ON THE TRUST BEING DISSOLVED. WE ALSO FIND THAT THE LD. A.R. HAS SUBMITTED THAT THE CLAUSE WITH RESPECT TO TRANSFER OF ASSETS ON DISSOL UTION OF TRUST EXISTS IN THE TRUST DEED OF THE ASSESSEE AND FOR WHICH IT PLA CED THE TRANSLATED COPY OF RECORD. IN VIEW OF THE AFORESAID FACTS, WE ARE OF THE VIEW THAT IN THE INTEREST OF FAIR PLAY AND JUSTICE THE MATTER NEEDS EXAMINATION DE NOVO AT THE END OF DIT(E). WE THEREFORE SET ASIDE THE MATTE R TO THE FILE OF DIT(E) ITA NO 224/ AHD/2013 . A.Y. N.A. 3 FOR FRESH EXAMINATION AT HIS END AND THEREAFTER TO DECIDE THE MATTER AS PER LAW AND AFTER CONSIDERING THE SUBMISSIONS OF THE AS SESSEE. WE ALSO DIRECT THE ASSESSEE TO FURNISH ALL THE REQUIRED DETAILS CA LLED BY DIT(E) PROMPTLY AND THUS THIS GROUND OF ASSESSEE IS ALLOWED. 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWE D FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON 31 -10 - 2013. SD/- SD/- (D.K. TYAGI) (ANIL CHATURVEDI) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD. TRUE COPY RAJESH. COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,A HMEDABAD