The Managing Committee Aminia Muslim Girls School, Delhi V. Pr. CIT (Exemptions), New Delhi

ITA 4788/DEL/2015

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 7014 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 11 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-07-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Assessment Year: misc
• Appeal Filed On: 22-07-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHIFALI SWAROOP
• Assessee Lawyers: SACHIN GARG
• Keywords: Opportunity of being heard
• Section: 80G; 12A; 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: E: NEW DELHI) BEFORE SHRI N.K SAINI, ACCOUNTANT MEMBER & SHRI KULDIP SINGH, JUDICIAL MEMBER ITA NO:- 4787 /DEL/2015, & ITA NO:- 4788/DEL/2015 THE MANAGING COMMITTEE AMINIA MUSLIM GIRLS SCHOOL, 2063, AHATA KALE SAHIB, QASIMJAN STREET, DELHI-110006. VS. THE PRINCIPAL COMMISSIONER OF INCOME TAX (EXEMPTION) E-2,26 TH FLOOR, DR. SPM CIVIC CENTRE, JLN MARG, NEW DELHI-110002. PAN NO: AAATT5692D APPELLANT RESPONDENT ASSESSEE BY : SH. SACHIN GARG (CA) REVENUE BY : SMT. SHIFALI SWAROOP, CIT (DR) DATE OF HEARING : 13.06.2018. DATE OF PRONOUNCEMENT : 10/07/2018. ORDER PER: KULDIP SINGH, JM SINCE COMMON QUESTIONS OF FACTS AND LAW HAVE BEEN R AISED IN BOTH THE AFORESAID INTER CONNECTED APPEAL, THE SAME ARE BEING DISPOSED OF BY WAY OF CONSOLIDATED ORDER TO AVOID REPETITION OF DI SCUSSION. 2 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE. 2. THE APPELLANT, THE MANAGING COMMITTEE, DELHI-11000 6 (HEREINAFTER REFERRED TO AS THE ASSESSEE) BY FILING THE PRESEN T APPEAL, SOUGHT TO SET ASIDE THE IMPUGNED ORDERS BOTH DATED 28.05.2015 PAS SED BY LD. CIT(E), E-2, 26 TH FLOOR, PRATYAKSH KAR BHAWAN, NEW DELHI-110002, ON THE GROUNDS THAT:- GROUNDS OF ITA NO. 4787/DEL/2015 1. THE LD. PRINCIPAL COMMISSIONER OF INCOME TAX ( EXEMPTIONS), NEW DELHI (HEREAFTER THE PCIT) ERRED IN REJECTING T HE APPLICATION FOR REGISTRATION UNDER SECTION 12A R.W. S. 12AA OF THE INCOME TAX ACT, 1961. 2. THE IMPUGNED ORDER PASSED BY THE LD. PCIT IS AG AINST THE FACTS OF THE CASE AS WELL AS LAW. 3. THE OBSERVATIONS MADE IN THE IMPUGNED ORDER BY THE LD. PCIT ARE AGAINST THE FACTS OF THE CASE AS WELL AS L AW. GROUNDS OF ITA NO. 4788/DEL/2015 1. THE LD. PRINCIPAL COMMISSIONER OF INCOME TAX ( EXEMPTIONS), NEW DELHI (HEREAFTER THE PCIT) ERRED IN REJECTING T HE APPLICATION FOR GRANT OF APPROVAL UNDER SECTION 80G OF THE INCOME TAX ACT, 1961. 2. THE IMPUGNED ORDER PASSED BY THE LD. PCIT IS AGA INST THE FACTS OF THE CASE AS WELL AS LAW. 3. THE OBSERVATIONS MADE IN THE IMPUGNED ORDER BY THE LD. PCIT ARE AGAINST THE FACTS OF THE CASE AS WELL AS L AW. 3 . BRIEFLY STATED THE FACTS NECESSARY FOR ADJUDICATION OF THE CONTROVERSY AT HAND ARE: THE APPLICATIONS MOVED BY THE APPLICANT, DATED 26.11.2014 IN FORM NO. 10A & 10G FOR SEEKING REGIST RATION U/S 12AA AND APPROVAL U/S 80G RESPECTIVELY OF THE INCOME TAX ACT , 1961 (FOR SHORT THE ACT) HAVE BEEN REJECTED BY LD. PCIT(E), ON THE GRO UND THAT THE APPLICANT 3 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE. HAS FAILED TO FILE REQUISITE DETAILS WITH THE ORIGI NAL COPY OF MOA FOR VERIFICATION TO PROVE THE CHARITABLE NATURE AND THE GENUINENESS OF THE ACTIVITIES OF THE SOCIETY. 4 . FEELING AGGRIEVED, THE ASSESSEE HAS COME UP BEFOR E THE TRIBUNAL BY CHALLENGING THE IMPUGNED ORDERS PASSED BY LD. CI T BY WAY OF FILING THE PRESENT APPEALS. 5. WE HAVE HEARD THE LD. AUTHORIZED REPRESENTATIVES O F THE PARTIES TO THE APPEAL, GONE THROUGH THE DOCUMENTS RELIED UPON AND ORDERS PASSED BY THE REVENUE AUTHORITY BELOW IN THE LIGHT OF THE FACTS AND CIRCUMSTANCES OF THE CASE. 6. UNDISPUTEDLY, THE APPLICANT MANAGING COMMITTEE IS REGISTERED UNDER THE SOCIETIES OF REGISTRATION ACT XXI OF 1860 , AS PER MEMORANDUM OF ASSOCIATION OF APPLICANT MANAGING COMMITTEE AVAI LABLE AT PAGE 9 TO 20 OF THE PAPER BOOK. THE SOCIETY HAS BEEN ESTABLISHE D TO IMPART RELIGIOUS, MORAL, SECULAR EDUCATION AND TRAINING AS WELL AS GI VE INSTRUCTIONS IN INDUSTRIES AND HANDICRAFTS TO THE GIRLS OF MUSLIM P UNJABI COMMUNITY. THE OPERATIVE PART OF THE MEMORANDUM OF ASSOCIATION ENS HRINING ITS AIMS AND OBJECTS ARE EXTRACTED FOR READY PERUSAL AS UNDER:- 2. AIM AND OBJECTS. 1. TO RUN IN THE BEST POSSIBLE WAY AND TO IMPROVE AND PROMOTE THE AMINIA MUSLIM GIRLS SCHOOL, DELHI WHICH HAS BE EN STARTED IN THE WAQF BUILDING OF THE SCHOOL, BEARING MUNICIPAL 4 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE. HOUSE-TAX NO. 1003/A, IN AHARA KALE SAHIB WARD NO. 6, DELHI, TO IMPART RELIGIOUS, MORAL AND SECULAR EDUCA TION AND TRAINING AS WELL AS TO GIVE INSTRUCTION IN INDUSTRI ES AND HANDICRAFTS TO THE GIRLS OF THE MUSLIM PUNJABI COMM UNITY KNOW AS QUAM PUNJABIAN. 3. TO ACQUIRE OTHER WAQF PROPERTIES FOR THE BENEFIT OF THE ABOVE SCHOOL, TO RECEIVE SUBSCRIPTIONS AND DONATIONS FOR THE MAINTENANCE AND UP-KEEP OF THE SCHOOL. 4. TO SPEND THE INCOME OF THE WAQF PROPERTIES OF TH E THE AMINIA MUSLIM GIRLS SCHOOL, TO MEET THE EXPENSES AND REQU IREMENTS OF THE SCHOOL, AND TO START OTHER SCHOOLS FOR GIRLS AS BRANCHES OF THIS SCHOOL IN OTHER MUHALLAS OF THE PUNJABI COM MUNITY, PROVIDED IT BE FOUND NECESSARY AND FUNDS ARE AVAILA BLE. 15. THE AMINIA MUSLIMS GIRLS SCHOOL IS ESTABLISHED FOR THE GIRLS OF THE PUNJABI COMMUNITY BUT OTHER MUSLIM GIRLS MAY BE ADMITTED TO THE SCHOOL WITH THE PERMISSION OF THE M ANAGING COMMITTEE. 17. NO FEES FOR EDUCATION SHALL BE CHARGED IN THE S CHOOL, BUT REASONABLE CONVEYANCE CHARGES SHALL BE REALIZED MON THLY FROM THE GUARDIANS OF THE GIRL STUDENTS. 18. ALL INCOME OF THE WAQF PROPERTY TO THE SCHOOL S HALL BE DEPOSITED IN THE ACCOUNTS OF THE MANAGING COMMITTEE AMINIA MUSLIM GIRLS SCHOOL IN ONE OR TWO RELIABLE BANKS A S APPROVED BY THE MANAGING COMMITTEE. 7 . THE LD. CIT(E) DECLINED THE REGISTRATION AND APPR OVAL U/S 12AA AND SECTION 80G RESPECTIVELY, ON THE SOLE GROUND THAT, THE APPLICANT HAS NOT FILED REQUISITE DETAILS AS WELL AS MOA FOR VERIFICA TION, SO AS TO ESTABLISH THE NATURE AND GENUINENESS OF THE ACTIVITIES OF THE SOC IETY. 8. WHEN THE APPLICANT IS RUNNING THE SCHOOL FOR GIRLS AND IMPARTING TRAINING TO THE GIRLS IN HANDICRAFTS WITHOUT CHARGI NG ANY FEE, ACTIVITIES OF THE SOCIETIES APPEAR TO BE ARE CHARITABLE AND GENUI NE IN NATURE. 5 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE. 9 . NOT ONLY THIS, THE LD. CIT(E) HAS GRANTED REGISTRA TION AS WELL AS APPROVAL TO THE ASSESSEE U/S 12AA AND SECTION 80G R ESPECTIVELY FOR AY 2016-17 AS PER ORDER AVAILABLE AT PAGE 54-55 OF THE PAPER BOOK. FURTHERMORE, THE CO-ORDINATE BENCH OF TRIBUNAL IN A SSESSEES OWN CASE BEARING ITA NO 6817 & 6818/DEL/2015 IN THE CASE OF THE MANAGING COMMITTEE VS. CIT(E) ORDER DATED 25.09.2017, DIRECTE D THE LD.CIT(E) TO GRANT REGISTRATION U/S 12AA AND TO ACCORD APPROVAL U/S 80G OF THE ACT. 10. IN VIEW OF WHAT HAS BEEN DISCUSSED ABOVE, WE HEREB Y DIRECT THE LD. CIT(E) TO GRANT REGISTRATION AND TO ACCORD APPRO VAL TO THE APPLICANT U/S 12AA AND SECTION 80G OF THE ACT RESPECTIVELY, O N FURNISHING THE REQUISITE DETAILS REQUIRED U/S 12AA OF THE ACT, AFT ER PROVIDING AN OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. CONSEQ UENTLY, BOTH APPEALS FILED BY THE ASSESSEES ARE ALLOWED. 11. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 10/7/2018 SD/- SD/- (N.K SAINI) (KULDIP SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 10.07.2018 POOJA/- COPY FORWARDED TO: 6 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE. 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI 7 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE. DATE OF DICTATION 2/7/2018 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 9/7/2018 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS 10/7/2018 DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT 10/7/2018 DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS 10/7/2018 DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER 8 ITA NOS.-4787 & 4788/DEL/2015. THE MANAGING COMMITTEE.