Kasu Charitable Old Home Trust, Agra V. CIT, Agra

ITA 444/AGR/2009

• Counselvise Citation: [2011] 135 COUNSELVISE.COM (IT) 2435 (ITAT-AGRA)
• Duration Of Justice: 1 year(s) 4 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-03-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 30-03-2011
• Assessment Year: misc
• Appeal Filed On: 05-11-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K SHARMA
• Assessee Lawyers: K K JAIN
• Keywords: Set aside
• Section: 80G; 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH, AGRA BEFORE SHRI P.K. BANSAL, ACCOUNTANT MEMBER AND SHRI H.S. SIDHU, JUDICIAL MEMBER ITA NO. 444/AGR/2009 KASU CHARITABLE OLD HOME TRUST, VS. COMMISSIONER O F INCOME TAX-II, E-295, KAMLA NAGAR, AGRA. AGRA. (PAN : AABTK 3078 K). (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI K.K. JAIN, ADVOCATE RESPONDENT BY : SHRI A.K. SHARMA, JR. D.R. ORDER PER H.S. SIDHU, J.M. : THE ASSESSEE HAS FILED THE PRESENT APPEAL AGAINST T HE ORDER DATED 08.09.2009 PASSED BY THE LD. CIT-II, AGRA ON THE FOLLOWING GRO UNDS :- 1. BECAUSE THE LD. COMMISSIONER OF INCOME TAX-II, AGRA HAS ERRED IN LAW AS WELL AS ON FACTS AND CIRCUMSTANCES OF THE CASE IN REJECTING THE APPLICATION FOR REGISTRATION U/S 80G(5)(VI) OF THE INCOME TAX ACT, 1961. 2. BECAUSE THE LD. COMMISSIONER OF INCOME TAX-II, A GRA HAS ERRED IN LAW IN REJECTING THE APPLICATION OF THE APPELLAN T ON IRRELEVANT CONSIDERATIONS PARTICULARLY WHEN THE CHARITABLE ACT IVITIES OF THE TRUST HAS BEEN APPROVED BY GRANTING REGISTRATION U/S 12AA OF THE INCOME TAX ACT, 1961 TO THE APPELLANT TRUST. 2 2. THE ASSESSEE TRUST FILED AN APPLICATION DATED 26 .12.2009 CLAIMING EXEMPTION UNDER SECTION 80G OF THE INCOME TAX ACT, 1961 (THE ACT HEREINAFTER) BEFORE THE LD. CIT-II, AAYKAR BHAWAN, SANJAY PLACE, AGRA. THE OFF ICE OF THE LD. CIT-II, AGRA ISSUED NOTICE TO THE ASSESSEE TO PRODUCE THE NECESS ARY EVIDENCE IN SUPPORT OF THEIR CLAIM, FOR 24.08.2009. IN RESPONSE TO THE SAME, TH E LD. A.R. OF THE ASSESSEE APPEARED AND REQUESTED FOR ADJOURNMENT AND THE CASE WAS ADJO URNED FOR 07.09.2009. AFTER HEARING THE LD. COUNSEL FOR THE ASSESSEE, THE LD. C IT-II, AGRA OBSERVED THAT THE ASSESSEE TRUST HAVE NOT YET STARTED ITS ACTIVITIES AND THE ISSUE OF EXEMPTION UNDER SECTION 80G OF THE ACT IS PREMATURE. THE LD. CIT A LSO HELD THAT THE ASSESSEE TRUST COULD NOT PRODUCE THE CONCLUSIVE EVIDENCE AND SHE I S NOT SPECIFIC ABOUT THE GENUINENESS OF THE OBJECTIVES AND ACTIVITIES OF THE ASSESSEE TRUST FOR GRANTING EXEMPTION UNDER SECTION 80G(5)(VI) OF THE ACT AND T HE LD. CIT HAS REJECTED THE APPLICATION FILED BY THE ASSESSEE VIDE THE IMPUGNED ORDER DATED 08.09.2009, AGAINST WHICH THE ASSESSEE HAS FILED THE PRESENT APPEAL. 3. THE LD. COUNSEL FOR THE ASSESSEE STATED THAT THE LD. CIT-II, AGRA HAS GRANTED THE REGISTRATION UNDER SECTION 12AA OF THE ACT W.E. F. 01.04.2007 I.E. FROM THE ASSESSMENT YEAR 2008-09. THEREFORE, THE ASSESSEE I S ENTITLED FOR THE EXEMPTION UNDER SECTION 80G(5)(VI). HE HAS ALSO FILED A PAPE R BOOK CONTAINING PAGE NOS.1 TO 26 IN WHICH HE HAS ATTACHED COPY OF APPLICATION ON FORM NO.10G, COPY OF ORDER U/S 3 12AA DATED 30.07.2008, COPY OF TRUST DEED, COPY OF ORDER U/S 80G(5)(VI) DATED 08.09.2009, COPY OF FORM NO.ITR-7 FOR ASSESSMENT YE AR 2008-09 ALONG WITH BALANCE SHEET AS ON 31.03.2008 AND COPY OF BANK STA TEMENT. THE LD. COUNSEL FOR THE ASSESSEE ALSO CERTIFIED THAT THE AFORESAID PAPERS H AD ALREADY BEEN FILED BEFORE THE REVENUE AUTHORITIES BELOW AND IS A MATER OF RECORD. 4. ON THE CONTRARY, THE LD. D.R. RELIED UPON THE OR DER PASSED BY THE LD. CIT-II, AGRA DATED 08.09.2009. 5. AFTER HEARING BOTH THE PARTIES AND PERUSING THE IMPUGNED ORDER ALONG WITH THE DOCUMENTARY EVIDENCE FILED BY THE ASSESSEE IN THE S HAPE OF PAPER BOOK CONTAINING PAGE NOS.1 TO 26, WE ARE OF THE CONSIDERED OPINION THAT THE LD. CIT-II, AGRA HAS NOT PASSED A SPEAKING ORDER ON THE APPLICATION DATED 26 .12.2009 IN FORM NO.10G CLAIMING EXEMPTION UNDER SECANT 80G OF THE ACT. WE ARE ALSO OF THE OPINION THAT THE LD. FIRST APPELLATE AUTHORITY HAS NOT CLARIFIED IN THE IMPUGNED ORDER THAT WHICH ACTIVITIES OF THE TRUST ARE NOT GENUINE AND WHICH C ONDITIONS FOR GRANTING EXEMPTION IN DISPUTE ARE NOT FULFILLED IN THE CASE OF THE ASSESS EE. THEREFORE, IN THE INTEREST OF JUSTICE, WE SET ASIDE THE IMPUGNED ORDER WITH DIREC TION TO THE LD. CIT-II, AGRA TO DECIDE THE ISSUE IN DISPUTE AFRESH UNDER THE LAW AF TER APPRECIATING THE EVIDENCE FILED BY THE ASSESSEE AND AFFORDING OPPORTUNITY TO THE AS SESSEE. 4 ITA NO. 444/AGR/2009 6. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS A LLOWED FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE OPEN COURT ON 30.03.2011). SD/- SD/- (P.K. BANSAL) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER PLACE: AGRA DATE: 30 TH MARCH, 2011 PBN/* COPY OF THE ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT BY ORDER 3. CIT CONCERNED 4. CIT (APPEALS) CONCERNED 5. DR, ITAT, AGRA BENCH, AGRA 6. GUARD FILE ASSISTANT REGISTRAR INCOME-TAX APPELLATE TRI BUNAL, AGRA TRUE COPY