Birla Education Society, Satna V. Commissioner of Income Tax (Examption), Bhopal

ITA 45/JAB/2017

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 2266 (ITAT-JABALPUR)
• Duration Of Justice: 4 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-03-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2016-2017
• Appeal Filed On: 18-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V.B. SARGAR
• Keywords: Opportunity of being heard
• Section: 10(23C)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JABALPUR BENCH, JABALPUR BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ./ ITA NO. 45/JAB/2017 / ASSESSMENT YEAR : 2016-17 BIRLA EDUCATION SOCIETY, PRIYAMVADA BIRLA SCHOOL, BIRLA VIKAS, SATNA (M.P.) PAN : AAAAB 3977 G VS COMMISSIONER OF INCOME-TAX (EXEMPTIONS), SATNA (MP) / (APPELLANT) / (RESPONDENT) ASSESSEE BY : SHRI SAPAN USRETHE, ADV. REVENUE BY : SHRI V.B. SARGAR, DR / DATE OF HEARING : 13/03/2018 / DATE OF PRONOUNCEMENT: 14/03/2018 / O R D E R PER KUL BHARAT, JUDICIAL MEMBER:- THIS APPEAL FILED BY THE ASSESSEE IS AGAINST THE ORDER O F THE LEARNED COMMISSIONER OF INCOME-TAX (EXEMPTION), BHOPAL DATED 14 .08.2017 DECLINING THE APPROVAL SOUGHT BY THE ASSESSEE-SOCIETY UNDER SECTION 10(23C)(VI) OF THE INCOME-TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) . 2. THE ASSESSEE HAS RAISED FOLLOWING GROUNDS IN ITS APPE AL:- 1. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTION ) WAS NOT JUSTIFIED IN REJECTING THE APPLICATION FOR EXEMPTION UNDER SECTIO N 10(23C)(VI) AND (VIA) OF THE INCOME TAX ACT ON TECHNICAL GROUND. 2. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTION) W AS NOT JUSTIFIED IN ACCEPTING THE REPLY SEND THROUGH E MAIL IN RESPONSE TO SHOW-CAUSE NOTICE ON A VAGUE GROUND EVEN OTHERWISE, ASSESSEE HAS ALSO SEN D THE SIGNED COPY OF REPLY THROUGH SPEED POST. ITA NO. 45/JAB/2017 BIRLA EDUCATION SOCIETY VS. CIT (EXEMPTION) AY : 2016-17 2 3. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTION) W AS NOT JUSTIFIED IN REJECTING THE APPLICATION FOR EXEMPTION UNDER SECTIO N 10(23C) (VI) AND (VIA) OF THE INCOME TAX ACT ON THE GROUND THAT FIGURES WE RE NOT CORRECTLY MENTIONED AS IT CAN BE GIVEN AT ANY TIME AND ALL THE DETAI LS ARE AVAILABLE IN THE AUDIT REPORT WHICH WAS ENCLOSED ALONG WITH APPLICATIO N. 4. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTION) W AS NOT JUSTIFIED IN IGNORING THE REVISED FORM 56D FILED ON AUGUST 31, 2017 WHERE IN THE YEAR IS PROPERLY MENTIONED AND FIGURES IN COLUMN 10 AND 11 ARE A LSO MENTIONED. 5. THE APPELLANT CRAVES FOR LEAVE TO AMEND, ADD TO OR OM IT ANY GROUND UP TO THE TIME OF HEARING OF THE APPEAL. 3. AT THE OUTSET, LEARNED COUNSEL FOR THE ASSESSEE SU BMITTED THAT THE ASSESSEE WAS NOT GIVEN PROPER OPPORTUNITY OF BEING HE ARD BY THE LD. CIT(EXEMPTION) BEFORE REJECTING THE APPLICATION FILED UNDER SECTION 10(23C)(VI) OF THE ACT. IN THIS REGARD, HE INVITED OUR ATTENTION TO THE IMPUGNED ORDER AND SUBMITTED THAT THE REQUISITE DETAI LS WERE SENT BY THE ASSESSEE THROUGH EMAIL. IT WAS ALSO CONTENDED BY THE AS SESSEE THAT IT HAS SUFFICIENT MATERIAL TO PROVE THAT THE ASSESSEE IS ENTIT LED FOR CLAIMING EXEMPTION UNDER SECTION 10(23C)(VI) OF THE ACT. LEARNED DEPARTMENTAL REPRESENTATIVE, ON THE OTHER HAND, OPPOSED THE SUBMIS SIONS SO MADE BY THE ASSESSEE. 4. HAVING HEARD THE RIVAL CONTENTIONS AND HAVING PERUSED THE MATERIAL AVAILABLE ON RECORD, WE FIND THAT THE IMPUGNED ORDER WAS PASSED BY THE LD. CIT(EXEMPTION) WITHOUT AFFORDING PROPER OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. IN VIEW OF THE ABOVE, AS ALSO BEARING IN MIN D ENTIRETY OF THE CASE, WE DEEM IT FIT AND PROPER, IN THE INTEREST OF JUSTIC E, TO RESTORE THIS ISSUE TO ITA NO. 45/JAB/2017 BIRLA EDUCATION SOCIETY VS. CIT (EXEMPTION) AY : 2016-17 3 THE FILE OF THE CIT(EXEMPTION) FOR DECISION AFRESH AF TER AFFORDING DUE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT ON 14 TH MARCH, 2018 AT JABALPUR. SD/- SD/- (MANISH BORAD) ACCOUNTANT MEMBER (KUL BHARAT) JUDICIAL MEMBER JABALPUR; DATED 14/03/ 2018 *BIT / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , , / DR, ITAT, JABALPUR 6. / GUARD FILE . / BY ORDER, TRUE COPY / ( DY./ASSTT.REGISTRAR) , / ITAT, JABALPUR