Smt. Sulochanadevi Education Foundation, JAMNAGAR V. The Commissioner of Income Tax, JAMNAGAR

ITA 431/RJT/2013

• Counselvise Citation: 43124914 RSA 2013
• Duration Of Justice: 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-11-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 19-11-2013
• Assessment Year: misc
• Appeal Filed On: 08-11-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR M L MEENA
• Assessee Lawyers: J C RANPURA
• Keywords: Charitable institution
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBULAL, SMC BENCH, RAJKOT BEFORE SHRI T. K. SHARMA, JM ITA NO. 431/RJT/2013 SMT SULOCHNADEVI EDUCATION FOUNDATION, 312-NEO SQUARE, JAMNAGAR PAN : AATCS 0016 J ( / APPELLANT) THE COMMISSIONER OF INCOME-TAX JAMNAGAR / RESPONDENT / ASSESSEE BY SHRI J C RANPURA, CA / REVENUE BY DR M L MEENA, DR / DATE OF HEARING 19.11.2013 !'# / DATE OF PRONOUNCEMENT 22.11.2013 / ORDER THIS APPEAL BY THE ASSESSEE IS AGAINST THE ORDER DA TED 25.10.2013 OF COMMISSIONER OF INCOME-TAX, JAMNAGAR REFUSING THE R EGISTRATION U/S 12AA OF THE INCOME-TAX ACT, 1961. 2. THE FACTS, IN BRIEF, ARE THAT THE ASSESSEE-TRUST WAS CREATED ON 18.09.2012. IT IS REGISTERED U/S 25 OF THE COMPANIES ACT, 1956 WITH R EGISTRAR OF COMPANIES VIDE REGISTRATION NO.U80903GJ2012NPL072004 DATED 18.09.2 012. THE TRUST HAS MADE AN APPLICATION FOR REGISTRATION U/S 12A(A) OF THE INCO ME-TAX ACT, 1961 ON 22.04.2013. ON VERIFICATION OF THE APPLICATION, THE LD COMMISSIONE R OF INCOME-TAX, JAMNAGAR OBSERVED THAT THIS ENTITY IS REGISTERED UNDER SECTION 25 OF THE C OMPANIES ACT, 1956 IN THE STATUS OF COMPANY AND NOT AS A TRUST . MOREOVER, THE MEMORANDUM OF ASSOCIATION DOES NOT CONTAIN PROVISIONS TO THE EFFE CT THAT UPON ITS DISSOLUTION, IF ANY PROPERTY REMAINS AFTER SATISFACTION OF ITS DEBTS AN D LIABILITIES, THE SAME SHALL BE TRANSFERRED TO THE TRUST HAVING SIMILAR OBJECTS. HE , THEREFORE, ISSUED SHOW-CAUSE NOTICES DATED 07.10.2013 AND 22.10.2013 ASKING THE ASSESSEE TO PRODUCE ORIGINAL DOCUMENTS FOR VERIFICATION AND TO EXPLAIN THE ABOVE MENTIONED DISCREPANCIES. THE ASSESSEE-TRUST VIDE ITS LETTER DATED 14.10.2013 AND 24.10.2013 EXPLAINED THAT THE ASSESSEE IS NOT REGISTERED UNDER THE TRUST ACT BUT REGISTERED AS INSTITUTION UNDER SECTION 25 OF COMPANIES ACT. REGARDING THE DISSOLU TION CLAUSE IN THE MEMORANDUM OF ASSOCIATION, THE ASSESSEE EXPLAINED THAT IF UPON WINDING UP OR DISSOLUTION OF THE COMPANY THERE REMAINS, AFTER SATISFACTION OF AL L THE DEBTS AND LIABILITIES AND PROPERTY WHATSOEVER THE SAME SHALL NOT BE DISTRIBUT ED AMONGST THE MEMBERS 2 431-RJT-2013 - SMT SULOCHNADEVI EDUCATION FOUNDATION(SMC) OF THE COMPANY BUT SHALL BE GIVEN OR TRANSFER TO SU CH OTHER COMPANY HAVING OBJECT SIMILAR TO THE OBJECTS OF THE COMPANY, TO BE DETERMINED BY THE MEMBERS OF THIS COMPANY AT OR BEFORE THE TIME RESOLUTION OR IN DEFAULT IN THEREOF, BY THE HIGH-COURT OF JUDICATURE THAT HAS OR MAY ACQUIRE JU RISDICTION IN THE MATTER. 3. AFTER CONSIDERING THE AFORESAID SUBMISSIONS, THE LD COMMISSIONER OF INCOME- TAX, JAMNAGAR IN PARAGRAPH 4 OF THE IMPUGNED ORDER OBSERVED THAT AS PER THE MANDATE OF THE OFFICE PROCEDURE VOL.II, CHAPTER-5, PARA-2.7(VI), IN CASE OF DISSOLUTION, ITS NET ASSETS AFTER MEETING ALL ITS L IABILITIES, SHOULD NOT REVERT TO ITS FOUNDER, MEMBERS, DIRECTORS, DONORS ETC., BUT USED FOR ITS OBJECTS. THE ULTIMATE POWER OF TRANSFER, IN CASE OF DISSOLUTION SHOULD NOT BE D ETERMINED BY THE MEMBERS OF THE COMPANY. THE SAME SHALL BE TRANSFERRED TO THOSE COM PANIES WHICH IS DULY REGISTERED U/S 12A(A), SO THAT QUESTION OF REVERT OF ASSETS CA NNOT RAISED. FINALLY, IN THE IMPUGNED ORDER, THE LD COMMISSIONER OF INCOME-TAX, JAMNAGAR RELIED UPON THE DECISION OF THE ITAT RAJKOT BENCH IN ITA NO.172/RJT /2013 DATED 20.06.2013, WHEREIN THE TRIBUNAL ISSUED DIRECTION TO THE APPELLANT-TRUS T TO AMEND THE TRUST DEED TO FULFILL THE CONDITION NECESSARY FOR REGISTRATION U/S 12A(A) OF THE INCOME-TAX ACT, 1961.TO SUM UP, IN THE IMPUGNED ORDER, THE LD COMMISSIONER OF I NCOME-TAX REFUSED THE APPLICATION OF THE ASSESSEE SEEKING REGISTRATION U/S 12AA OF TH E INCOME-TAX ACT, 1961. AGGRIEVED WITH THE ORDER OF LD COMMISSIONER OF INCO ME-TAX, JAMNAGAR, THE ASSESSEE- TRUST IS NOW IN APPEAL BEFORE THIS TRIBUNAL, ON THE FOLLOWING GROUNDS:- 1. THE GROUNDS OF APPEAL MENTIONED HEREUNDER ARE W ITHOUT PREJUDICE TO ONE ANOTHER. 2. THE LEARNED COMMISSIONER OF INCOME TAX, JAMNAGAR [HEREINAFTER REFERRED AS TO THE CIT] ERRED ON FACTS AS ALSO IN LAW IN REJECTING THE APPLICATION FOR REGISTRATION U/S 12A(A) OF THE ACT ALLEGING THAT THE MEMORANDUM OF ASSOCIATION DOES NOT CONTAIN PROVISIONS IN THE E VENT OF ITS DISSOLUTION TO THE EFFECT THAT UPON THE DISSOLUTION, IF ANY PROPERTY R EMAINS AFTER SATISFACTION OF ITS DEBTS AND LIABILITIES, THE SAME SHALL BE TRANSFERRE D TO THE TRUST HAVING SIMILAR OBJECTS. 3. THE LEARNED CIT ERRED ON FACTS OF REGISTRATION O F APPELLANT IS UNDER SECTION 25 OF THE COMPANIES ACT, 1956 AND FAILED TO DISTINGUISH DIFFERENCE BETWEEN TRUST REGISTERED UNDER BOMBAY PUBLIC TRUST ACT, 1950 AND LICENSED COMPANY U/S 25 OF THE COMPANIES ACT, 1956. 4. THE LEARNED CIT ERRED ON THE FACTS THAT DISSOLUT ION OF SECTION 25 COMPANY IS PART OF ARTICLES OF ASSOCIATION AND REJE CTED REGISTRATION U/S 12A(A) OF THE ACT BASED ON MEMORANDUM OF ASSOCIATION WITHO UT CONSIDERING THE FACT THAT COMPANY IS MANAGED BY MEMBERS ONLY. 3 431-RJT-2013 - SMT SULOCHNADEVI EDUCATION FOUNDATION(SMC) 5. YOUR HONOURS APPELLANT CRAVES LEAVE TO ADD, TO AMEND, ALTER, OR WITHDRAW ANY OR MORE GROUNDS OF APPEAL ON OR BEFORE THE HEARING OF APPEAL. 4. AT THE TIME OF HEARING BEFORE THE TRIBUNAL, ON B EHALF OF THE ASSESSEE-TRUST, SHRI J C RANPURA, CA APPEARED AND FILED A PAPER-BOOK CON TAINING 56 PAGES, WHICH INTER- ALIA INCLUDE COPY OF APPLICATION FOR REGISTRATION U /S 12A(A) IN FORM NO.10A AND COPY OF THE MEMORANDUM OF ASSOCIATION AND ARTICLES OF ASSOC IATION ALONGWITH COPIES OF CERTIFICATE OF INCORPORATION AND LICENSE U/S 25 OF THE COMPANIES ACT, 1956. THE COUNSEL OF THE ASSESSEE-TRUST ALSO FURNISHED THE SY NOPSIS OF ARGUMENTS, WHEREIN IT WAS CONTENDED THAT THE ASSESSEE-COMPANY IN THE NAME AND STYLE AS SHRIMATI SULOCHANADEVI EDUCATION FOUNDATION WAS INCORPORATED UNDER THE PROVISIONS OF SECTION 25 OF THE COMPANIES ACT, 1956 WITH EFFECT F ROM 18.09.2012 AS PER THE CERTIFICATE OF INCORPORATION NO.U80903GJ2012NPL7200 4-2012-2013. LICENSE U/S 25 OF THE COMPANIES ACT, 1956 ISSUED BY THE REGISTRAR OF COMPANIES, GUJARAT DATED 28.08.2012 APPROVING NONPROFIT MAKING COMPANY FOR PROMOTING OB JECTS OF THE NATURE SPECIFIED IN SECTION 25 SUB-SECTION (1) CLAU SE (A) OF THE SAID ACT WHICH INTENDS TO APPLIED ITS PROFIT IF ANY OR OTHER INCOM E IN PROMOTING ITS OBJECTS AND TO PROHIBIT THE PAYMENT OF ANY DIVIDEND TO ITS MEMB ERS IS ATTACHED WITH MEMORANDUM AND ARTICLES OF ASSOCIATION. THE COUNSEL OF THE ASSESSEE SUBMITTED THAT FORMATION OF SECTION 25 COMPANY AND ITS CHARITABLE OBJECTS ARE NOT IN DISPUTE. AS PER CLAUSE IV(II) OF MEMORANDUM OF ASSOCIATION, NO PORTION OF INCOME OR PROPERTY SHALL BE PAID OR TRANSFERRED, DI RECTLY OR INDIRECTLY BY WAY OF DIVIDEND, BONUS OR OTHERWISE BY THE WAY OF PROFIT, TO A PERSONS WHO, AT THE TIME ARE, OR HAVE BEEN MEMBERS OF THE COMPANY OR TO ANY ONE OR MORE OF THEM OR TO ANY PERSON CLAIMING THROUGH ANYONE OR MORE OF THEM. THIS IS ALSO PART OF THE CONDITION NO.2 OF LICENSE ISSUED UNDER SECTION 25 O F THE COMPANIES ACT, 1956. A BODY CORPORATE WHICH IS ESTABLISHED TO PROMOTE, EST ABLISH, DEVELOP, OWN, RUN, SUPPORT, MAINTAIN AND ADVANCEMENT OF CAUSE OF EDUCA TION WHETHER FORMAL OR NON- FORMAL, VALUE EDUCATION AND SPIRITUAL EDUCATION AND TO PROMOTE, ESTABLISH, DEVELOP, OWN, RUN, SUPPORT, MAINTAIN EDUCATIONAL INSTITUTION S INCLUDING SCHOOLS, COLLEGES, UNIVERSITIES, DEEMED UNIVERSITIES, GURUKULS, HOSTEL S, LIBRARIES, READING ROOMS AND VOCATIONAL TRAINING CENTRES ARE LIABLE FOR REGISTRA TION WITHIN THE MEANING OF SECTION 12AA OF THE INCOME-TAX ACT, 1961. IN SUPPORT OF THI S, THE LD COUNSEL OF THE ASSESSEE 4 431-RJT-2013 - SMT SULOCHNADEVI EDUCATION FOUNDATION(SMC) RELIED UPON THE JUDGMENT OF THE HONBLE PUNJAB & HA RYANA HIGH COURT IN ITS JUDGMENT DELIVERED ON 02.05.2013 IN THE CASE OF CIT V. O.P. JINDAL GLOBAL UNIVERSITY, WHEREIN IT WAS HELD THAT THE BODY CORPORATE REGISTERED U/S 25 OF THE COMPANIES ACT, 1956 IS ALSO ENTITLED FOR REGISTRATION U/S 12AA OF THE INCO ME-TAX ACT, 1961. 5. WITH REGARD TO THE OBJECTION OF LD COMMISSIONER OF INCOME-TAX, JAMNAGAR IN THE IMPUGNED ORDER REGARDING THE DISSOLUTION CLAUSE , THE LD COUNSEL OF THE ASSESSEE DREW MY ATTENTION TO CLAUSE X OF MEMORANDUM OF ASSO CIATION ON PAGE 5 AND CLAUSE 52 OF ARTICLES OF ASSOCIATION ON PAGE 10 WHICH CLEA RLY MENTIONED THE CONDITIONS OF WINDING UP / DISSOLUTION, WHICH READS AS UNDER:- IF UPON WINDING UP OR DISSOLUTION OF THE COMPANY TH ERE REMAINS, AFTER SATISFACTION OF ALL THE DEBTS AND LIABILITIES ANY P ROPERTY WHATSOEVER THE SAME SHALL NOT BE DISTRIBUTED AMONGST THE MEMBERS O F THE COMPANY BUT SHALL BE GIVEN OR TRANSFER TO SUCH OTHER COMPANY HA VING OBJECT SIMILAR TO THE OBJECTS OF THIS COMPANY, TO BE DETERMINED BY TH E MEMBERS OF THIS COMPANY AT OR BEFORE THE TIME RESOLUTION OR IN DEFA ULT IN THEREOF, BY THE HIGH-COURT OF JUDICATURE THAT HAS OR MAY ACQUIRE JU RISDICTION IN THE MATTER. REFERRING TO THE AFORESAID CLAUSE, THE LD COUNSEL O F THE ASSESSEE POINTED OUT THAT THE COMPANY IS ALWAYS MANAGED BY ITS MEMBERS A ND NO OTHER AUTHORITY CAN INTERFERE AS THE RIGHT OF MEMBER IS CONCERNED UNDER THE COMPANIES ACT, 1956 AND ACCORDINGLY DECISIONS OF MEMBERS IN CASE OF COMPANY , TRUSTEE IN CASE OF TRUST AND EXECUTIVE MEMBERS IN CASE OF SOCIETY IS FINAL AND B INDING TO AUTHORITIES WITH CONDITION OF ACCOUNTABILITY AND TRANSPARENCY. AS PER MANDATE OF THE OFFICE PROCEDURE VOLUME- II, CHAPTER-5, PARA 2.7(VI), IN CASE OF DISSOLUTION IT IS NET ASSETS AFTER MEETING ALL ITS LIABILITIES SHOULD NOT REVERT TO ITS FOUNDER, MEMBE RS, DIRECTORS, DONORS ETC. BUT USED FOR ITS OBJECTS. THIS IS ABSOLUTELY TAKEN CARE IN DISSO LUTION CLAUSE AS MENTIONED ABOVE AS QUESTION OF REVERT OF ASSETS TO THE MEMBER IS OUT O F QUESTION. THE LD COUNSEL OF THE ASSESSEE ALSO POINTED OUT THAT AS PER THE CONDITION S AND CLAUSES OF COMPANIES ACT, 1956, IT IS DIFFICULT TO ACCEPT THE WORDING OF LD C IT THE ULTIMATE POWER OF TRANSFER IN CASE OF DISSOLUTION SHOULD NOT BE DETERMINED BY THE MEMBERS OF THE COMPANY. HE FURTHER POINTED THAT THE ESSENCE OF THE MANDATE OF OFFICE PROCEDURE IS TO SE E THAT UPON DISSOLUTION THE PROPERTY OF THE SECTION 25 COM PANY SHOULD BE TRANSFERRED TO THE COMPANY OR TRUST HAVING SIMILAR OBJECTS. HE SUBMITTED THAT WITH SIMILAR CLAUSE OF DISSOLUTION/WINDING UP, MANY COMPANIES RE GISTERED UNDER SECTION 25 OF THE 5 431-RJT-2013 - SMT SULOCHNADEVI EDUCATION FOUNDATION(SMC) COMPANIES ACT, 1956 HAVE BEEN GRANTED REGISTRATION UNDER SECTION 12AA OF INCOME- TAX ACT, 1961 WITHIN GUJARAT AND ALSO ALL OVER INDI A. 6. THE LD COUNSEL OF THE ASSESSEE ALSO SUBMITTED TH AT THE WINDING UP CLAUSE OF ALL COMPANIES REGISTERED UNDER SECTION 25 OF COMPANIES ACT, 1956 ARE OF SIMILAR NATURE. THE COMPANIES ACT, 1956 DO NOT ALLOW THE SECTIONS O R CLAUSES OF OTHER ACTS TO MENTION OR TO INCLUDE IN MEMORANDUM OF ASSOCIATION OR ARTICLES OF ASSOCIATION. THEREFORE, IT IS NOT POSSIBLE TO COMPLY OR INCLUDE AGAINST REMARKS OF LD CI THE SAME MAY BE TRANSFERRED TO THOSE COMPANIES WHICH IS DULY REGISTERED UNDER SECTION 12A(A), SO THAT QUESTION OF REVERT OF ASSET S CANNOT RAISED. 7. THE LD COUNSEL OF THE ASSESSEE RELIED UPON THE D ECISION OF ITAT DELHI B BENCH IN THE CASE OF DISHA MICRO CREDIT V. CIT IN I TA NO.1374/DEL/2010, WHEREIN IT WAS HELD THAT IT IS NOT NECESSARY THAT IN ORDER TO DO PUBLIC CHAR ITY, ANY ONE ASSOCIATION IS TO BE REGISTERED AS SOCIETY OR TRUST AND THEREFORE DIRECT THE COMMISSIONER OF INCOME-TAX THE GRANT REGISTRATION U NDER SECTION 12AA OF THE ACT TO THE ASSESSEE. HE FURTHER RELIED UPON THE JUDGMENT OF HONBLE BOMB AY HIGH COURT IN THE CASE OF CIT V. APMC REPORTED IN 291 IT R 419 (BOM), WHEREIN IT WAS HELD THAT THERE IS NO REQUIREMENT UNDER THE ACT THAT ANY INSTITUTIONS CONSTITUTED FOR ADVANCEMENT OF ANY OBJECT OF PUBLIC UTILITY MUST BE REGISTERED AS A TRUST. THE LD COUNSEL OF THE ASSESSEE SUBMITTED THAT, MERELY BECA USE OF THE ASSESSEE ASSOCIATION IS REGISTERED AS COMPANY U/S 25 OF THE COMPANIES AC T, IT CANNOT BE A GROUND TO REFUSE REGISTRATION U/S 12AA OF THE ACT; THEREFORE THE LD CIT WAS NOT JUSTIFIED IN REJECTING THE APPLICATION FOR REGISTRATION U/S 12AA OF THE ACT. 8. ON THE OTHER HAND, DR M L MEENA, DR, APPEARED O N BEHALF OF THE REVENUE VEHEMENTLY SUPPORTED THE ORDER OF LD COMMISSIONER O F INCOME-TAX, JAMNAGAR. THE LD DEPARTMENTAL REPRESENTATIVE POINTED OUT THAT ON THE BASIS OF SUBMISSIONS MADE BEFORE THE LD COMMISSIONER OF INCOME-TAX, IN THE IM PUGNED ORDER HE REFUSED TO GRANT THE REGISTRATION U/S 12AA OF THE INCOME-TAX ACT, 19 61; THEREFORE THE VIEW TAKEN BY HIM BE UPHELD. 6 431-RJT-2013 - SMT SULOCHNADEVI EDUCATION FOUNDATION(SMC) 9. HAVING HEARD BOTH THE SIDES, I HAVE CAREFULLY GO NE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. IN CLAUSE X OF MEMORANDUM OF ASS OCIATION ON PAGE 5 AND CLAUSE 52 OF ARTICLES OF ASSOCIATION ON PAGE 10, IT IS CLE ARLY MENTIONED THE CONDITIONS OF WINDING-UP/DISSOLUTION, WHICH IS REPRODUCED HEREUND ER:- IF UPON WINDING UP OR DISSOLUTION OF THE COMPANY TH ERE REMAINS, AFTER SATISFACTION OF ALL THE DEBTS AND LIABILITIES ANY P ROPERTY WHATSOEVER THE SAME SHALL NOT BE DISTRIBUTED AMONGST THE MEMBERS O F THE COMPANY BUT SHALL BE GIVEN OR TRANSFER TO SUCH OTHER COMPANY HA VING OBJECT SIMILAR TO THE OBJECTS OF THIS COMPANY , TO BE DETERMINED BY THE MEMBERS OF THIS COMPANY AT OR BEFORE THE TIME RESOLUTION OR IN DEFA ULT IN THEREOF, BY THE HIGH- COURT OF JUDICATURE THAT HAS OR MAY ACQUIRE JURISDI CTION IN THE MATTER. THE MAIN OBJECTS OF THE COMPANY TO BE PURSUED ON I NCORPORATION ARE CONTAINED IN CLAUSE A(1) OF THE MEMORANDUM OF ASSOC IATION, WHEREIN IT IS CLEARLY MENTIONED THAT NO OBJECTS OF THE COMPANY SHALL BE CARRIED OUT ON COMMERCIAL BASIS. IN CLAUSE X OF MEMORANDUM OF ASSOCIATION, IT IS CLE ARLY MENTIONED THAT UPON A WINDING UP OR DISSOLUTION OF THE COMPANY THERE REMA INS, AFTER THE SATISFACTION OF ALL THE DEBTS AND LIABILITIES, ANY PROPERTY WHATSOEVER THE SAME SHALL NOT BE DISTRIBUTED AMONGST THE MEMBERS OF THE COMPANY BUT SHALL BE GIV EN OR TRANSFERRED TO SUCH OTHER COMPANY HAVING OBJECTS SIMILAR TO THE OBJECTS OF TH IS COMPANY, TO BE DETERMINED BY THE MEMBERS OF THIS COMPANY AT OR BEFORE THE TIME O F DISSOLUTION OR IN DEFAULT THEREOF, BY THE HIGH COURT OF JUDICATURE THAT HAS OR MAY ACQ UIRE JURISDICTION IN THE MATTER. THIS WINDING UP / DISSOLUTION CLAUSE IS IN CONFORMITY WI TH THE CONDITIONS LAID DOWN UNDER THE ACT, THEREFORE I AM OF THE VIEW THAT THE LD COM MISSIONER OF INCOME-TAX, JAMNAGAR IN THE IMPUGNED ORDER CLEARLY ERRED IN REFUSING TO GRANT THE REGISTRATION SOUGHT BY THE ASSESSEE U/S 12AA OF THE INCOME-TAX ACT, 1961. I, T HEREFORE, SET ASIDE THE IMPUGNED ORDER OF LD COMMISSIONER OF INCOME-TAX, JAMNAGAR AN D DIRECT HIM TO READ THE CLAUSE X OF MEMORANDUM OF ASSOCIATION ON PAGE 5 AND CLAUSE 52 OF ARTICLES OF ASSOCIATION ON PAGE 10, WHEREIN IT IS CLEARLY STATED THAT IF U PON WINDING UP OR DISSOLUTION OF THE COMPANY THERE REMAINS, AFTER SATISFACTION OF ALL TH E DEBTS AND LIABILITIES ANY PROPERTY WHATSOEVER THE SAME SHALL NOT BE DISTRIBUTED AMONGS T THE MEMBERS OF THE COMPANY BUT SHALL BE GIVEN OR TRANSFER TO SUCH OTHER COMPAN Y HAVING OBJECT SIMILAR TO THE OBJECTS OF THIS COMPANY. FOR THIS PURPOSE, THE AS SESSEE SHALL PRODUCE ORIGINAL MEMORANDUM AND ARTICLES OF ASSOCIATION OF THE INSTI TUTION TO THE LD COMMISSIONER OF 7 431-RJT-2013 - SMT SULOCHNADEVI EDUCATION FOUNDATION(SMC) INCOME-TAX, JAMNAGAR WHO WILL VERIFY THE OBJECT CLA USE AND IF UPON VERIFICATION HE FOUND THAT THE OBJECT CLAUSE CONTAINED IN THE AFORE SAID WINDING UP OR DISSOLUTION CLAUSE, IN THAT EVENT HE WILL GRANT THE REGISTRATIO N TO THE ASSESSEE-TRUST U/S 12AA OF THE INCOME-TAX ACT, 1961. THE ASSESSEE IS AN EDUCAT IONAL AND CHARITABLE TRUST AND ISSUANCE OF REGISTRATION U/S 12AA IS A PRIMARY COND ITION FOR THE START OF THE CHARITABLE ACTIVITY OF THE TRUST, THEREFORE ITS CASE HAS TO BE DECIDED ON PRIORITY BASIS. I, THEREFORE, DIRECT THE ASSESSEE-TRUST TO SUO MOTU APPEAR BEFORE THE LD COMMISSIONER OF INCOME- TAX, JAMNAGAR WITHIN 15 DAYS ON RECEIPT OF THIS ORD ER OF THE TRIBUNAL WITHOUT WAITING FOR ANY NOTICE FROM THE REVENUE DEPARTMENT AND SUBM IT THE ORIGINAL MEMORANDUM AND ARTICLES OF ASSOCIATION OF THE INSTITUTION TO T HE LD COMMISSIONER OF INCOME-TAX, JAMNAGAR. THEN AFTER THE LD COMMISSIONER OF INCOME- TAX, JAMNAGAR SHALL PASS AN APPROPRIATE ORDER AS PER LAW AS DEEMED FIT WITHIN A REASONABLE TIME. WITH THESE DIRECTIONS, ASSESSEES APPEAL IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. 10. IN THE RESULT, APPEAL OF THE ASSESSEE IS TREATE D AS ALLOWED FOR STATISTICAL PURPOSES. THIS ORDER PRONOUNCED IN OPEN COURT ON THE DATE MEN TIONED HEREINABOVE. SD/- ( $.. &' / T. K. SHARMA) ( ) /JUDICIAL MEMBER *)& +) ,/ ORDER DATE: 22.11.2013 !$ /RAJKOT *BT / COPY OF ORDER FORWARDED TO:- 1. / APPELLANT- SMT SULOCHNADEVI EDUCATION FOUNDATION , JAMNAGAR 2. / RESPONDENT- THE COMMISSIONER OF INCOME-TAX, JAMN AGAR 3. ,0,1 * * 2 / CONCERNED JT. CIT, RANGE-2, JAMNAGAR 4 . 345 1, * 1#, !$ / DR, ITAT, RAJKOT 5 . 57 89 / GUARD FILE *)& / BY ORDER TRUE COPY PRIVATE SECRETARY, ITAT, RAJKOT