NEW STAR SKYLAND EDUACTION SOCIETY, DELHI V. ITO Ward Exemp 2(4), New Delhi

ITA 2847/DEL/2023

• Counselvise Citation: [2024] 101 COUNSELVISE.COM (IT) 8871 (ITAT-DELHI)
• Duration Of Justice: 3 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-01-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Assessment Year: 2020-2021
• Appeal Filed On: 09-10-2023
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 12AA; 10B; 143(1)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘E’, NEW DELHI BEFORE SH. SAKTIJIT DEY, VICE PRESIDENT AND SH. N. K. BILLAIYA, ACCOUNTANT MEMBER ITA No.2847/Del/2023 Assessment Year: 2020-21 New Star Skyland Education Society, A1 Block, Sant Nagar, Burari, Delhi-110084 PAN No.AAATN6228M Vs. ITO Ward Exemp 2 (4) New Delhi (APPELLANT) (RESPONDENT) Appellant by Sh. Gurjeet Singh, CA Respondent by Sh. Vipul Kashyap, Sr DR Date of hearing: 31/01/2024 Date of Pronouncement: 31/01/2024 ORDER PER N. K. BILLAIYA, AM: This appeal by the assessee is preferred against the order dated 11.08.2023 by NFAC, Delhi pertaining to A.Y. 2020-21. 2. The grievance of the assessee read as under :- “1. Because the action for initiation, continuation and conclusion proceedings u/s 143(1) is being challenged on facts and law. 2 2. Because the action is being challenged on facts and law for not providing reasonable opportunity of being heard. The assessment order being passed is in violation of the principle of natural justice and without giving adequate time and opportunity to the appellant to present the case. 3. Because the action u/s 143(1)(a) is being challenged on facts and law as only mistake apparent from return can be made adjustment in 143(1)(a). If the adjustment required detailed discussion, no adjustment can be made in intimation u/s 143(1) (a). 4. Because the action is being challenged on facts and law for making addition of Rs.1,31,67,939 as income of the society overlooking that due to Covid there was delay in fling Form 10B and ITR7 both. Moreover, Honourable Supreme Court has extended the time limit between 20.03.2020 to 28.02.2022. 5. Because the action is being challenged on facts and law for making addition of Rs. 1,31,67,939 for non-fling of Form No. 10B and ITR7 which is a technicality and cannot be utilized for declining the claim of exemption u/s 12AA (2017) 145 DTR 0415 (Kar). 6. Alternatively, and without prejudice to above, the action is being challenged on facts and law for making addition of Rs. 1,31,67,939 by taking the total School Fees receipts as income overlooking that assessee has claimed expenses against said receipts and there is no donation received during the year. 7. For any consequential relief and/or legal claim arising out of this appeal and for any addition, deletion, amendment and modification in the grounds of appeal before the disposal of the same in the interest of substantial justice to the assessee.” 3. The sum and substance of the grievance of the assessee is that without affording adequate opportunity return has been processed 3 u/s. 143 (1)(a) of the Act and without affording any reasonable opportunity addition of Rs. 131677939/- has been made for delay in filing form 10B and ITR 7. 4. We have given a thoughtful consideration to the grievance of the assessee. When the grievance of the assessee is considered in the light of the decision of Hon’ble Supreme Court extending the time limit during covid period we find that the assessee was not given adequate opportunity to present its case. Therefore, in the interest of justice and fair play we restore the appeal to the files of the CIT(A) with a direction to decide the appeal afresh after affording a reasonable and adequate opportunity of being heard to the assessee. 5. In the result, the appeal of the assessee is allowed for statistical purpose. 6. Decision announced in the open court on 31.01.2024. Sd/- Sd/- (SAKTIJIT DEY) (N.K. BILLAIYA) VICE PRESIDENT ACCOUNTANT MEMBER *NEHA* Date:- .01.2024 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) ` 5. DR: ITAT ASSISTANT REGISTRAR NEW DELHI