Badi Sadri Jain Charitable Trust , Udaipur V. CIT (Exemption), Jaipur

ITA 359/JODH/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 4080 (ITAT-JODHPUR)
• Duration Of Justice: 9 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-05-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2018-2019
• Appeal Filed On: 16-07-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K C BADHOK
• Keywords: Charitable institution; Opportunity of being heard; Principle of natural justice; Set aside; Audi alteram partem
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH, JODHPUR BEFORE SHRI N.K.SAINI, VICE PRESIDENT AND SHRI A.T. VARKEY, JUDICIAL MEMBER ITA NO. 359/JODH/2018 (ASSESSMENT YEAR : 2018-19) (U/S 12 AA) BADI SADRI JAIN CHARITABLE TRUST, 175/8, BANEDA HOUSE, UDAIPUR,RAJASTHAN 313001 VS THE CIT (EXEMPTIONS), JAIPUR, RAJASTHAN (APPELLANT) (RESPONDENT) PAN: AACTB8639A REVENUE BY SH. K.C. BADHOK, CIT DR ASSESSEE BY SHRI MAHESH GEHLOT, ADVOCATE DATE OF HEARING 07.05.2019 DATE OF PRONOUNCEMENT 07.05.2019 O R D E R PER N.K. SAINI, V.P. : THIS IS AN APPEAL BY THE ASSESSEE AGAINST THE ORDER DATED 14.5.2018 OF THE CIT(EXEMPTIONS), JAIPUR. 2. THE ONLY GRIEVANCE OF THE ASSESSEE IN THIS APPEA L RELATES TO THE REJECTION OF APPLICATION MOVED BY THE ASSESSEE FOR GRANTING REGISTRATION U/S 12AA OF THE INCOME TAX ACT, 1961 (IN SHORT 'THE ACT'). 2 3. FACTS OF THE CASE IN BRIEF ARE THAT THE ASSESSEE FILED AN APPLICATION ON 9.11.2017 IN FORM NO. 10A SEEKING REGISTRATION U/S 12AA OF THE ACT. THE LD. CIT(E) OBSERVED THAT THE ASSESSEE WAS ASKED TO SUBMIT CERTAIN DOCUMENTS / EXPLANATIONS BY 6.3.2018 AND ALSO TO P RODUCE ORIGINAL TRUST DEED / MOA FOR VERIFICATION BUT NO COMPLIANCE WAS MADE. HE ALSO MENTIONED THAT ONE MORE OPPORTUNITY WAS GRANTED VI DE LETTER DATED 20.4.2018 BUT THERE WAS NO COMPLIANCE, THEREFORE, THE LD. CIT(E) REJECTED THE APPLICATION MOVED BY THE ASSESSEE. 4. NOW THE ASSESSEE IS IN APPEAL. 5. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT NO PROPER OPPORTUNITY OF BEING HEARD WAS PROVIDED BY THE LD. CIT(E), THEREFORE, THE ACTION OF LD. CIT(E) IN REJECTING THE APPLICATI ONS MOVED BY THE ASSESSEE FOR REGISTRATION U/S 12AA OF THE ACT WAS N OT JUSTIFIED. 6. IN HIS RIVAL SUBMISSIONS, THE LD. SR.DR SUPPORTE D THE IMPUGNED ORDERS PASSED BY THE LD. CIT(A). 7. WE HAVE CONSIDERED THE SUBMISSIONS OF BOTH THE P ARTIES AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IN THE PR ESENT CASE, IT IS NOT IN DISPUTE THAT THE LD. CIT(E) PASSED THE IMPUGNED ORD ER EX-PARTE. HE MENTIONED THAT ONE MORE OPPORTUNITY WAS PROVIDED VI DE LETTER DATED 20.4.2018, HOWEVER, NOTHING IS BROUGHT ON RECORD TO SUBSTANTIATE THAT THE 3 SAID LETTER WAS SERVED UPON THE ASSESSEE. IT IS WELL SETTLED THAT NOBODY SHOULD BE CONDEMNED UNHEARD AS PER THE MAXIM AUDI ALTERAM PARTEM . WE, THEREFORE, BY KEEPING IN VIEW THE PRINCIPLES OF NATURAL JUSTICE, DEEM IT APPROPRIATE TO SET ASIDE THIS CASE BACK TO THE F ILE OF THE LD. CIT(E) TO BE ADJUDICATED AFRESH IN ACCORDANCE WITH LAW AFTER PROVIDING DUE AND REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESS EE. 8. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE COURT ON 07.05.2019) SD/- SD/- (A.T. VARKEY) (N.K. SAINI) JUDICIAL MEMBER VICE PRESIDENT DATED : 07.05.2019 . . / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. / CIT 4. ( )/ THE CIT(A) 5. , , # / DR, ITAT, JODHPUR 6. & / GUARD FILE / BY ORDER / ASSISTANT REGISTRAR