SANSTHAN PRABANDHAN SAMITI, Jaipur V. CIT, Kota

ITA 249/JPR/2011

• Counselvise Citation: 24923114 RSA 2011
• Duration Of Justice: 4 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-08-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 22-03-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Reasonable cause
• Section: 12AA

Judgement Text

1 ITA 249-11 IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR BENCH A JAIPUR BEFORE SHRI R.K. GUPTA AND SHRI N.L. KALRA ITA NO. 249/JP/2011 SANSTHAN PRABANDHAN SAMITI (ITI), VS. COMMISSIONER OF INCOME-TAX, PACHPAHAR, BHAWANI MANDI, KOTA. DIST. JHALAWAR. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI P.C. PARWAL RESPONDENT BY : SHRI SUNIL MATHUR ORDER DATE OF ORDER : 05/08/2011. PER R.K. GUPTA, J.M. THIS IS AN APPEAL BY ASSESSEE TRUST AGAINST THE OR DER OF LD. CIT PRESCRIBING VARIOUS CONDITIONS WHILE GRANTING REGISTRATION UNDER SECTIO N 12AA, WHICH ARE NOT AS PER LAW. 2. IT IS SEEN THAT APPEAL FILED BY ASSESSEE TRUST I S DELAYED BY 48 DAYS AND A CONDONATION APPLICATION HAS BEEN FILED FOR CONDONIN G THE DELAY. 3. AFTER GOING THROUGH THE CONTENTS OF THE AFFIDAVI T OF THE SECRETARY OF THE TRUST, IT IS SEEN THAT DUE TO MISUNDERSTANDING, THE APPEAL WAS N OT FILED BECAUSE REGISTRATION UNDER SECTION 12AA WAS GRANTED. HOWEVER, ON A LATER STAG E ON GOING THROUGH THE CONDITIONS PRESCRIBED IN THE REGISTRATION ORDER IT WAS FOUND T HAT CLARIFICATION HAS TO BE SOUGHT THAT THE CONDITIONS PRESCRIBED ARE NOT AS PER PROVISIONS OF LAW AND, THEREFORE, THE APPEAL WAS FILED WHICH IS BELATED BY 48 DAYS. THE REASONING GIVEN I N THE AFFIDAVIT IS CONVINCING, 2 THEREFORE, WE HELD THAT THERE IS A REASONABLE CAUSE IN FILING THE APPEAL LATE. ACCORDINGLY DELAY IN FILING THE APPEAL IS CONDONED. 4. THE LD. COUNSEL OF THE ASSESSEE HAS FILED A BRIE F WRITTEN NOTE. ON THE OTHER HAND, LD. CIT D/R HAS STATED THAT THERE IS NO CONDITION P RESCRIBED BY LD. CIT. HOWEVER, CERTAIN SUGGESTIONS ARE MADE ONLY. 5. AFTER CONSIDERING THE SUBMISSIONS AND PERUSING T HE MATERIAL ON RECORD, WE FIND THAT LD. CIT HAS GRANTED REGISTRATION UNDER SECTION 12AA AND WHILE GRANTING REGISTRATION HAS PRESCRIBED FOUR CONDITIONS. FIRST CONDITION IS THAT INTEREST RECEIVED ON BANK DEPOSITS WILL BE SHOWN IN THE RETURN AND AS PER PROVISIONS L AW TAX WILL BE PAID ON THAT. 6. IN THIS RESPECT, WE ARE OF THE VIEW THAT THOUGH THIS CONDITION IS A SUGGESTIVE IN NATURE BUT THERE IS NO NEED OF THIS CONDITION AS, A S PER PROVISIONS OF LAW THE ASSESSEE HAS TO SHOW THE INTEREST RECEIVED WHILE FILING THE RETU RN AND IF ON THIS INTEREST TAX IS PAYABLE THAT WILL BE PAID AS PER PROVISIONS OF LAW. ACCORD INGLY IT IS DIRECTED THAT NO ADVERSE INFERENCE SHOULD BE DRAWN BY THE DEPARTMENTAL AUTHO RITIES IN RESPECT TO THIS CONDITION. 7. CONDITION NOS. 2 AND 3 WHICH IN RESPECT TO THAT IF IN FUTURE IT IS FOUND THAT REGISTRATION HAS BEEN OBTAINED MALAFIDE OR BY STATI NG ANY WRONG FACTS THEN THE SAME WILL BE WITHDRAWN. 8. IN THESE CONDITIONS WE FIND NO UNREASONABLENESS IN THE ORDER OF LD. CIT. 9. THERE IS ONE MORE CONDITION I.E. CONDITION NO. 4 THAT THE TRUST WILL PUT A NAME PLATE IN BILINGUAL LANGUAGE MENTIONING THE SECTION UNDER WHICH THE ASSESSEE TRUST IS GRANTED REGISTRATION AND ALSO THE OBJECTS OF THE AS SESSEE TRUST. 10. IT WAS SUBMITTED BY LD. A/R THAT THERE IS NO PR ESCRIBED LAW THAT TRUST/INSTITUTION SHOULD MENTION ITS NAME IN TWO LANGUAGES AND STATE THE OBJECTS ETC. FOR WHICH THE 3 REGISTRATION IS GRANTED, IN THE SIGN BOARD PUT IN T HE MAIN GATE OF HEAD OFFICE /BRANCH OFFICE. IN OUR VIEW THERE IS NO NEED OF SUCH COND ITION. THE ONLY THING IS THAT THE HEAD OFFICE AND BRANCH OFFICE SHOULD BE SHOWN IN THE REC ORD. THEREFORE, THIS FOURTH CONDITION IS REMOVED. 11. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWE D IN THE ABOVE MANNER. 12. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 05 .08.2011. SD//- SD/- ( N.L. KALRA ) ( R.K. GUPTA ) ACCOUNTANT MEMBER JUDICIAL MEMBER JAIPUR, D/- COPY FORWARDED TO :- SANSTHAN PRABANDHAN SAMITI (ITI) JHALAWAR. THE CIT, KOTA. THE CIT (A) THE CIT THE D/R GUARD FILE (ITA NO. 249/JP/2011) BY ORDER, AR ITAT JAIPUR.