Yug Prabhavak Trust, Ahmedabad V. The CIT (Exeption), Ahmedabaad

ITA 410/AHD/2020

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 7584 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-08-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: misc
• Appeal Filed On: 14-07-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SHRUNJAL SHAH
• Keywords: Opportunity of being heard
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD B BENCH (VIRTUAL COURT) BEFORE: SHRI MAHAVIR PRASAID, JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEMBER YUG PRABHAVAK TRUST, AHMEDABAD PAN: AAATY6226E (APPELLANT) VS CIT(EXEMPTION), AHMEDABAD (RESPONDENT) REVENUE BY: SHRI VIDHYUT TRIVEDI, SR. D.R. ASSESSEE BY: SHRI SHRUNJAL SHAH, A. R. DATE OF HEARING : 25-08-2020 DATE OF PRONOUNCEMENT : 26-08-2020 /ORDER PER BENCH:- BOTH THE APPEALS FILED BY ASSESSEE ARISE FROM ORDER OF THE CIT(EXEMPTION), AHMEDABAD DATED 21-04-2020, IN PROCEEDINGS UNDER SE CTION 80G(5)(VI) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. 2. BOTH THE APPEALS OF THE ASSESSEE ARE BASED ON CO MMON ISSUE AND SIMILAR FACTS, THEREFORE, FOR THE SAKE OF CONVENIENCE, THES E APPEALS ARE ADJUDICATED TOGETHER. ITA NOS. 410 & 411/AHD/2020 ASSESSMENT YEAR N.A. I.T.A NOS. 410 & 411/AHD/2020 A.Y. N.A. PAGE NO YUG PRABHAVAK TRUST VS. CIT(E) 2 3 IN BOTH THE APPEALS, THERE WAS DELAY OF 60 DAYS I N FILING THESE APPEALS, THE ASSESSEE HAS FILED CONDONATION APPLICATION ALONG WI TH THE AFFIDAVITS. IN THE AFFIDAVIT, THE ASSESSEE SUBMITTED THAT THE ACCOUNTA NT OF THE ASSESSEE WHO WAS LOOKING AFTER THE REGISTRATION PROCESS HAD LEFT THE TRUST AND FURTHER THERE WAS LOCK DOWN IMPOSED FROM 26 TH MARCH, 2020 ONWARDS DUE TO OUTBREAK OF CRONA VIRU S WHICH RESULTED IN DELAY IN FILING OF THE INSTANT AP PEALS BY 60 DAYS. LOOKING TO THE FACTS AS CITED ABOVE, WE CONSIDER THAT THERE IS BON AFIDE REASON FOR DELAY OF 60 DAYS IN FILING THESE APPEALS, THEREFORE, THE DELAY OF 60 DAYS IN FILING BOTH THE APPEALS ARE CONDONED. 4. THE BRIEF FACT OF THE CASE IS THAT ASSESSEE HAS FILED APPLICATION FOR REGISTRATION OF THE TRUST U/S. 12AA OF THE INCOME T AX ACT ELECTRONICALLY ON 24 TH OCTOBER, 2019 IN FORM NO. 10A UNDER RULE 11AA. THE LD. CIT(EXEMPTION), AHMEDABAD HAS ISSUED LETTER DATED 9 TH JAN, 2020 THROUGH EMAIL ID GIVEN BY THE ASSESSEE TRUST TO FURNISH THE CERTAIN DETAILS/DOCUM ENTS AS MENTIONED THEREIN. HOWEVER, THE ASSESSEE HAS NOT SUBMITTED DETAILS/DOC UMENTS AS MENTIONED IN THE ABOVE CITED LETTER OF THE LD. CIT(EXEMPTION). CONS EQUENTLY, CIT (EXEMPTION) HAS REJECTED THE APPLICATION OF THE ASSESSEE FOR APPROV AL U/S. 12AA ON ACCOUNT OF NON- VERIFICATION OF THE GENUINENESS OF THE ACTIVITIES O F THE ASSESSEE TRUST FOR WANT OF THE REQUIRED DETAILED INFORMATION. 5. DURING THE COURSE OF APPELLATE PROCEEDINGS BEFOR E US, THE LD. COUNSEL HAS FILED PAPER BOOK COMPRISING COPIES OF APPLICATION F OR REGISTRATION MADE U/S. 12AA AND OTHER RELATED DOCUMENTS PERTAINING TO THE ASSES SEE TRUST. THE LD. COUNSEL HAS SUBMITTED THAT BECAUSE OF NON-FUNCTIONING OF ASSESS EES EMAIL, THE LETTER DATED 29 TH JANUARY, 2020 SENT THROUGH EMAIL BY THE LD. CIT(E) COULD NOT BE ACCESSED, THEREFORE, THE NECESSARY COMPLIANCE WAS NOT MADE B EFORE THE LD. CIT(EXEMPTION). THE LD. COUNSEL HAS CONTENDED THAT ONE MORE OPPORTU NITY MAY BE PROVIDED TO THE I.T.A NOS. 410 & 411/AHD/2020 A.Y. N.A. PAGE NO YUG PRABHAVAK TRUST VS. CIT(E) 3 ASSESSEE FOR DECIDING THEIR CASES ON MERITS. ON TH E OTHER HAND, LD. DEPARTMENTAL REPRESENTATIVE HAS SUPPORTED THE ORDER OF LOWER AUT HORITIES. 6. HEARD BOTH THE SIDES AND PERUSED THE MATERIAL ON RECORDS. THE ASSESSEE HAD FILED APPLICATION FOR REGISTRATION U/S. 12AA OF THE ACT ELECTRONICALLY ON 24 TH OCTOBER, 2019. THE LD. CIT(E) HAD ISSUED A LETTER TO THE ASSESSEE ON EMAIL GIVEN BY THE TRUST TO FURNISH CERTAIN DETAILS AND DOCUMEN TS. IN THE ABSENCE OF RELEVANT DETAILS AND INFORMATION, THE LD. CIT(E) HAS REJECTE D THE ASSESSEE TRUST APPLICATION FOR APPROVAL U/S. 12AA OF THE ACT. THE ASSESSEE CO ULD NOT COMPLY WITH THE LETTER ISSUED Y THE LD. CIT(E) STATING THAT EMAIL ID WAS D EACTIVATED BY ASSESSEE COMPANY. CONSIDERING THE FACTS, WE ARE OF VIEW THAT ONE MORE OPPORTUNITY REQUIRED TO BE PROVIDED TO THE ASSESSEE FOR ADJUDICATING BOTH THE CASES ON MERIT. HOWEVER, THE ASSESSEE HAS AGREED TO PAY COST OF RS 5000/- FOR BO TH THE CASES TO THE INCOME TAX DEPARTMENT FOR NOT INTIMATING THE NEW EMAIL ID WHIC H HAS WASTED THE VALUABLE TIME OF THE OFFICERS. IN THE LIGHT OF THE ABOVE FA CTS AND CIRCUMSTANCES, WE RESTORE THIS EX-PARTE ORDER TO THE FILE OF LD. CIT(E) FOR D ECIDING AFRESH AFTER PROVIDING OPPORTUNITY OF BEING HEARD TO THE ASSESSEE SUBJECT TO DEPOSITING OF COST BEFORE HEARING THE APPEALS AS CITED ABOVE. 7. IN THE RESULT, THE BOTH THE APPEALS OF THE ASSES SEE ARE ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 26-08-2020 SD/- SD/- (MAHAVIR PRASAD) (AMARJIT SINGH) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD : DATED 26/08/2020 I.T.A NOS. 410 & 411/AHD/2020 A.Y. N.A. PAGE NO YUG PRABHAVAK TRUST VS. CIT(E) 4 / COPY OF ORDER FORWARDED TO:- 1. ASSESSEE 2. REVENUE 3. CONCERNED CIT 4. CIT (A) 5. DR, ITAT, AHMEDABAD 6. GUARD FILE. BY ORDER/ , / ,