The Hubli Dharwad Obstetrics and Gynaecological Society , Hubli V. Commissioner of Income Tax (Exemptions) , Bangalore

ITA 3126/BANG/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 1350 (ITAT-BANGALORE)
• Duration Of Justice: 6 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-06-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2016-2017
• Appeal Filed On: 22-11-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI N.V. VASUDEVAN, VICE PRESIDENT AND SHRI B.R. BASKA RAN , ACCOUNTANT MEMBER ITA NO. 3126/ BANG / 2018 ASSESSMENT YEAR : 2016 - 17 THE HUBLI DHARWARD OBSTETRICS & GYNAECOLOGICAL SOCIETY, C/O. KARNATAKA INSTITUTE OF MEDICAL SCIENCES, NO.1, VIDYANAGAR, HUBLI 580 021. PAN: AAEAT 2660E VS. THE COMMISSIONER OF INCOME TAX (EXEMPTIONS), BANGALORE. APPELLANT RESPONDENT APP E LLANT B Y : SHRI S.V. RAV ISHANKAR, ADVOCATE RESP ONDENT BY : SH RI ARUN K U MAR, CIT DATE OF HEARING : 12 .0 6 .2019 DATE OF PRONOUNCEMENT : 14 . 0 6 . 2 0 1 9 O R D E R PER N.V. VASUDEVAN, VICE PRESIDENT THIS APPEAL BY THE ASSESSEE IS AGAINST THE ORDE R DATED 26.9.2018 OF THE COMMISSIONER OF INCOME-TAX (EXEMPTIONS), BAN GALORE [ CIT(E) ] REJECTING THE APPLICATION FILED BY THE ASSESSEE FOR GRANT OF REGISTRATION U/S. 12AA OF THE INCOME-TAX ACT, 1961 [THE ACT]. 2. THE ASSESSEE FILED AN APPLICATION FOR GRANT OF REGISTRATION U/S. 12AA OF THE ACT ON 27.3.2018. IT IS THE CLAIM OF ASSESSE E THAT IT WAS EXISTING FOR CHARITABLE OBJECT OF MEDICAL RELIEF AND IT WAS ENTI TLED TO REGISTRATION. THE CIDT(E) ADDRESSED A LETTER DATED 6.9.18 CALLING UPO N THE ASSESSEE TO SHOW CAUSE AS TO WHY THE ASSESSEE CANNOT BE REGARDE D AS EXISTING FOR ITA NO.3126/BANG/2018 PAGE 2 OF 3 NON-CHARITABLE PURPOSE, BECAUSE BENEFITS OF THE SOC IETY WERE NOT AVAILABLE TO PUBLIC AT LARGE. THE CIT(E) WAS ALSO OF THE VIE W THAT MEMBERSHIP OF ASSESSEE SOCIETY WAS NOT OPEN TO PUBLIC. THE HEARI NG WAS FIXED BY THE CIT(E) ON 17.9.18. 3. THE AFORESAID NOTICE OF CIT(E) WAS RECEIVED IN T HE KARNATAKA MEDICAL INSTITUTE, ADMIN. SECTION ON 7.9.18 BECAUSE THE ASSESSEES SOCIETY ADDRESS WAS A ROOM IN THE AFORESAID MEDICAL INSTITU TE. THE LETTER WAS DELIVERED TO THE ASSESSEE ONLY ON 28.9.18. IMMEDIA TELY ON 29.9.2018, THE ASSESSEE WROTE A LETTER TO THE CIT(E) FOR AN OPPORT UNITY TO REPLY TO HIS SHOW CAUSE NOTICE DATED 6.9.2018. BUT THE CIT(E) P ASSED THE IMPUGNED ORDER ON 17.9.18 WHICH WAS THE ATE ON WHICH THE NOT ICE DATED 6.9.18 WAS DELIVERED TO THE ASSESSEE. IN THE AFORESAID CIRCUM STANCES, WE ARE OF THE VIEW THAT THE ASSESSEE DID NOT HAVE A PROPER OPPORT UNITY OF BEING HEARD BEFORE THE CIT(E). WE THEREFORE SET ASIDE THE ORDER OF CIT(E) AND RESTORE THE QUESTION OF GRANT OF REGISTRATION TO THE CIT(E) FOR FRESH CONSIDERATION IN ACCORDANCE WITH LAW, AFTER AFFORDING THE ASSESSEE O PPORTUNITY OF BEING HEARD. 4. IN THE RESULT, THE APPEAL OF ASSESSEE IS ACCORDI NGLY ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON THIS 14 TH DAY OF JUNE, 2019. SD/- SD/- ( B.R. BASKAR AN ) ( N.V . VASUDEVAN ) A C COUNTANT M EMBER VICE PRESIDENT BANGALORE, DATED, THE 14 TH JUNE, 2019. / D ESAI S MURTHY / ITA NO.3126/BANG/2018 PAGE 3 OF 3 COPY TO: 1. A PP ELL ANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, BANGALORE . 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, ITAT, BANGALORE.