Sanskar Education Trust, RAJKOT-GUJARAT V. The Commr. of Income Tax - 1, RAJKOT-GUJARAT

ITA 280/RJT/2014

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 8584 (ITAT-RAJKOT)
• Duration Of Justice: 7 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-12-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 03-12-2014
• Assessment Year: misc
• Appeal Filed On: 25-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M L MEENA
• Section: 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL: RAJKOT BENCH, RAJKOT (BEFOR E SHRI ANIL CHATURVEDI , A.M. & SHRI KUL BHARAT, J.M. ) I. T. A. NO. 280 / RAJ / 20 1 4 (A SSESSMEN T YEAR: N.A.) SANSKAR EDUCATION TRUST, ADIPUR - KUTCH KALPESH S. DOSHI AND CO CHARTERED ACCOUNTANTS 411, COSMO COMPLEX MAHILA COLLEGE CIRCLE, RAJKOT 360001 V/S THE CIT - 1, RAJKOT (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI KALPESH DOSHI, C.A. RESPONDENT BY : SHRI M.L. MEENA, D.R. ( )/ ORDER DATE OF HEARING : 3 - 12 - 2014 DATE OF PRONOUNCEMENT : 05 - 12 - 2014 PER SHRI ANIL CHATURVEDI,A.M. 1. THE APPEAL OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF CIT, RAJKOT - 1, DATED 27.02.2014. 2. BRIEFLY STATED FACTS ARE THAT THE ASSESSEE TRUST MADE AN APPLICATION U/S 12A OF THE INCOME TAX ACT FOR REGISTRATION ON 19.08.2013 IN THE PRESCRIBED FORM WHICH WAS REJECTED BY THE LD. CIT. FEELING AGGRIEVED BY THE ORDER OF LD. CIT, THE ASSESSEE IS NOW IN APPEAL BEFORE US. 3. BEFORE US L D. A.R. SUBMITTED THAT THE ORDER OF THE LD. CIT IS NOT JUSTIFIED AS THE APPLICATION HAS B EEN REJECTED ON THE BASIS THAT SHRI NARANDAS P. GANDHI ITA NO 280/RJT/2014 . A.Y. N.A. 2 IS NOT A TRUSTEE OF THE TRUST. HE SUBMITTED THAT THE TRUSTEE IS VERY WELL IN EXISTENCE AND THIS FACT MAY BE VERIFIED AND THEREFORE PRAYED TO RESTORE THE MATTER TO CIT FOR FRESH DECISION. ON THE CONTRAR Y THE LD. D.R SUPPORTED THE ORDER OF CIT AND SUBMITTED THERE IS NO ILLEGALITY IN THE ORDER OF LD. CIT . 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD AND GONE THROUGH THE ORDER OF CIT. WE FIND THAT THE LD. CIT REJECTED THE APPLICA TION BY OBSERVING AS UNDER: - 4 DURING THE COURSE OF HEARING HE WAS ASKED TO EXPLAIN AS TO HOW, HE WAS AUTHORIZED TO SIGN THE APPLICATION ON BEHALF OF THE TRUST. IN THIS REGARD, HE SUBMITTED THAT HE WAS APPOINTED AS TRUSTEE IN MEETING OF THE BOARD OF TRUSTEE S HELD ON 01.08.2012. IN SUPPORT, HE PRODUCED A COPY OF MINUTE OF MEETING DATED 01.08.2012, WHICH WAS ATTENDED BY HIM AND ANOTHER TWO TRUSTEES. HOWEVER, IT IS ALSO NOTICED THAT THE TRUST HAD SUBMITTED A COPY OF THE MINUTES BOOKS TO THE ASSESSING OFFICER. T HERE WAS A COPY OF MINUTES OF A MEETING HE LD ON THE 01.08.2012 IN SUCH MINUTES BOOK. HOWEVER, IN THE AFORESAID MINUTES, NO SUCH BUSINESS WAS CARRIED OUT. MOREOVER, IT IS ALSO NOTICED FROM THE MINUTES BOOK PRODUCED BEFORE THE ASSESSING OFFICER THAT SHRI NA RANDAS P. GANDHI IS ATTENDING MEETINGS OF BOARD OF TRUSTEES AS A TRUSTEE FROM APRIL, 2012 ONWARD, THOUGH HE WAS NOT TRUSTEE ACCORDING TO THE RECORDS PRODUCED. ALL THE ABOVE FACTS SHOWS THAT THE ACTIVITIES OF THE TRUST ARE NOT GENUINE. 5. HOWEVER THE CONTENT ION OF THE LD. A.R. IS THAT THE MEETING OF THE TRUSTEE WAS HELD ON 01.08.2012, THE APPLICATION TO CHARITY COMMISSIONER IN FORM NO. SCHEDULE 3G INFORMING ABOUT SHR I NARANDAS GANDHI AS TRUSTEE WAS MADE ON 20.02.2013, THE ORDER C HARITY COMMISSIONER WAS PASSE D ON 24.04.2014. AFTER CONSIDERING THE TOTALITY OF THE FACTS, WE ARE OF THE CONSIDERED VIEW THAT THE SUBMISSIONS MADE B Y THE LD. A.R. REQUIRES VERIFICATION BY THE LD. CIT AND THEREFORE THE APPLICATION IS RESTORED TO THE FILE OF THE LD. CIT TO DECIDE IT ITA NO 280/RJT/2014 . A.Y. N.A. 3 AFR ESH IN ACCORDANCE WITH LAW. NEEDLESS TO SAY THAT THE LD. CIT WOULD AFFORD REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE. 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON 05 - 12 - 20 1 4 . SD/ - SD/ - (KUL BHARAT ) (ANIL CHATURVEDI) JUDICIAL MEMBER ACCOUNTANT MEMBER RAJKOT . 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, RAJKOT