A.P. Pollution Control Board, Hyderabad V. DDIT(E)-II, Hyderabad

ITA 340/HYD/2011

• Counselvise Citation: 34022514 RSA 2011
• Duration Of Justice: 2 year(s) 9 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-01-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 07-03-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D SUDHAKAR RAO
• Keywords: Charitable institution
• Section: 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD B BENCH, HYDERABAD BEFORE SHRI B. RAMAKOTAIAH, ACCOUNTANT MEMBER AND S HRI SAKTIJIT DEY, JUDICIAL MEMBER ITA NO.340/HYD/2011 ASSESSMENT YEAR 2008-09. AP POLLUTION CONTROL BOARD, -V- DDIT (E)-II, HYDERABAD. HYDERABAD. PAN:AAAJA 1610Q (APPELLANT) (RESPONDENT) APPELLANT BY SHRI Y. RATNAKAR RESPONDENT BY SHRI D. SUDHAKAR RAO DATE OF HEARING 12 - 11 - 2013 DATE OF PRONOUNCEMENT 03 - 01 - 201 4 ORDER PER SAKTIJIT DEY, J.M: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST TH E ORDER DATED 30-12-2010 PASSED IN APPEAL NO.204/DDIT(E)-II /CIT(A)- IV/09-10 PERTAINING TO THE ASSESSMENT YEAR 2008-09. 2. THE ASSESSEE HAS RAISED IN TOTAL 11 GROUNDS. O UT OF WHICH 1, 10 AND 11 ARE GENERAL GROUNDS AND HENCE NO ADJUD ICATION IS REQUIRED. IN GROUND NOS. 2 TO 7, THE ASSESSEE HAS RAISED THE ISSUE OF IMMUNITY FROM TAXATION UNDER ARTICLE 289 O F 2 ITA NO.340 OF 2011 AP SOLUTIONS CONTROL BOARD, HYD. CONSTITUTION OF INDIA BY CLAIMING IT TO BE INCOME O F STATE. GROUND NO.8 RELATES TO THE ISSUE OF DENIAL OF APPR OVAL U/S 10(23C)(IV) OF THE I T ACT. AT THE OUTSET, THE LEA RNED AR SUBMITTED BEFORE US THAT WITHOUT PREJUDICE TO THE G ROUNDS RAISED BY THE ASSESSEE, THE ASSESSEES INCOME IS OT HERWISE EXEMPT U/S 11 OF THE ACT AS THE ASSESSEE HAS BEEN G RANTED REGISTRATION AS A CHARITABLE INSTITUTION U/S 12A O F THE ACT BY THE INCOME-TAX APPELLATE TRIBUNAL VIDE ITS ORDER PA SSED IN ITA NO.150/HYD/13 DATED 30-9-2013. A COPY OF THE SAID ORDER PASSED BY THE INCOME-TAX APPELLATE TRIBUNAL, HYDERA BAD BENCH WAS ALSO PLACED BEFORE US. THE LEARNED AR CONTENDE D THAT AS A RESULT OF THE REGISTRATION GRANTED U/S 12A OF THE A CT, NO PART OF THE INCOME OF THE ASSESSEE WILL BE LIABLE TO TAX A S IT COMPLIES WITH THE REQUIREMENTS OF REGISTRATION U/S 12A OF TH E ACT. HE THEREFORE REQUESTED TO REMIT THE MATTER BACK TO THE ASSESSING OFFICER FOR EXAMINING ASSESSEES CLAIM EXEMPTION U/ S 11 OF THE ACT. 3. THE LEARNED DR ALSO SUBMITTED THAT IN VIEW OF TH E ORDER PASSED BY THE INCOME-TAX APPELLATE TRIBUNAL DIRECTI NG GRANT OF REGISTRATION U/S 12A OF THE ACT TO THE ASSESSEE, TH E MATTER REQUIRES TO BE EXAMINED AFRESH BY THE ASSESSING OFF ICER. 4. WE HAVE HEARD THE SUBMISSIONS OF THE PARTIES AND PERUSED THE ORDERS OF THE REVENUE AUTHORITIES AS WELL AS OT HER MATERIALS ON RECORD. ON A PERUSAL OF THE ORDER DATED 30-9-20 13 PASSED BY THE ITAT, HYDERABAD BENCH IN ITA NO.150/HYD/2013 IT IS TO BE NOTED THAT THE INCOME-TAX APPELLATE TRIBUNAL, HY DERABAD 3 ITA NO.340 OF 2011 AP SOLUTIONS CONTROL BOARD, HYD. BENCH HAS DIRECTED THE DIT (E) TO GRANT REGISTRATIO N TO THE ASSESSEE U/S 12A OF THE ACT. IT IS THE CONTENTION OF THE LEARNED AR BEFORE US THAT THE ENTIRE INCOME OF THE ASSESSEE WILL NOT BE LIABLE TO TAX AS IT HAS SATISFIED ALL THE REQUIREME NTS OF THE REGISTRATION U/S 12A OF THE ACT. HOWEVER, EXEMPTIO N U/S 11 OF THE ACT IS SUBJECT TO FULFILMENT ALL THE CONDITIONS LAID DOWN IN SAID SECTION AS WELL AS SECTION 12 AND 13 OF THE AC T. SINCE THIS ASPECT NEEDS TO BE EXAMINED, WE REMIT THE MATTER BA CK TO THE FILE OF THE ASSESSING OFFICER FOR VERIFYING THE ASS ESSEES CLAIM OF EXEMPTION U/S 11 OF THE ACT SUBJECT TO SATISFACTION OF OTHER CONDITIONS. ACCORDINGLY, WE SET ASIDE THE ORDER OF THE CIT (A) AND REMIT THE MATTER BACK TO THE FILE OF THE ASSESS ING OFFICER WHO SHALL DECIDE THE SAME AFRESH. BEFORE PARTING, W E MAKE IT CLEAR THAT WE HAVE NOT EXPRESSED ANY OPINION ON OTH ER GROUNDS RAISED BEFORE US BY THE ASSESSEE AS THE MATTER HAS BEEN REMITTED TO THE ASSESSING OFFICER FOR DECIDING THE ISSUE OF ASSESSEES CLAIM OF EXEMPTION U/S 11 OF THE ACT. 5. FOR STATISTICAL PURPOSES, THE APPEAL IS TREATED AS ALLOWED. ORDER PRONOUNCED IN THE COURT ON 03-01-2014. SD/- ( B. RAMAKOTAIAH) ACCOUNTANT MEMBER SD/- (SAKTIJIT DEY) JUDICIAL M EMBER HYDERABAD, DATED THE 3 RD JANUARY, 2014. JMR* 4 ITA NO.340 OF 2011 AP SOLUTIONS CONTROL BOARD, HYD. COPY TO:- 1) A.P. POLLUTION CONTROL BOARD, PARIYAVARAN BHAVAN, A 3, INDL. ESTATE, SANATNAGAR, HYDERABAD. 2) DY. DIRECTOR OF INCOME-TAX (E)-II, BASHEERBAGH, HYDERABAD. 3) CIT (A)-IV, HYDERABAD. 4) DIT (E), HYDERABAD. 5) THE DEPARTMENTAL REPRESENTATIVE, I.T.A.T., HYDERABAD. 5 ITA NO.340 OF 2011 AP SOLUTIONS CONTROL BOARD, HYD.