I-Succed Network, New Delhi V. CIT (E), New Delhi

ITA 5187/DEL/2016

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 3714 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 3 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-01-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: misc
• Appeal Filed On: 03-10-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 80G; 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C , NEW DELHI BEFORE SH. N. K. SAINI, AM AND SH. K. N. CHARY , JM ITA NO. 5187 /DEL/2016 : ASSTT. YEAR : I - SUCCEED NETWORK, 35, GULMOHAR ENCLAVE, SFS FLATS, NEW DELHI - 110049 VS CIT(E), NEW DELHI (APPELLANT) (RESPONDENT) PAN /GIR NO. AA ECI0268F ASSESSEE BY : SH. ANIL JAIN, ADV. REVENUE BY : SH. ARUN KUMAR YADAV, SR. DR DATE OF HEARING : 20.12 .201 7 DATE OF PRONOUNCE MENT : 29.01 .201 8 ORDER PER N. K. SAINI, AM : THIS IS AN APPEAL BY THE ASSESSEE AGAINST THE ORDER DATED 05.09.2016 OF LD. CIT(EXEMPTIONS), NEW DELHI. 2. FOLLOWING G ROUNDS HAVE BEEN RAISED IN THIS APPEAL: THE LD . CIT(E) HAS ERRED IN REJECTING THE APPLICATION FOR REGISTRATION U/S 12AA AND U/S 80G WITHOUT GRANTING PROPER OPPORTUNITY. 2. THE ASSESSEE HAS FILED A FRESH APPLICATION FOR REGISTRATION, WHICH IS PENDING BEFORE THE DIT(E), IT IS ALSO PRAYED THAT THE VALID ITY MAY BE GRANTED FROM THE DATE OF EARLIER APPLICATION I.E. 22.3.2016. 3. THE ORDER OF THE LD. CIT(E) IS AGAINST LAW AND FACTS OF THE CASE. 4. THE APPELLANT CRAVES THE RIGHT TO ADD, AMEND OR WITHDRAW ANY GROUNDS OF APPEAL AT THE TIME OF HEARING. ITA NO . 5187 /DE L/2016 I - SUCCEED NETWORK 2 3. FRO M THE ABOVE GROUNDS, IT IS GATHERED THAT THE MAIN GRIEVANCE OF THE ASSESSEE RELATES TO THE REJECTION OF APPLICATION FOR REGISTRATION U/S 12AA OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) WITHOUT GRANTING PROPER OPPORTUNITY OF BEING HEAR D TO THE ASSESSEE. 4. FACTS OF THE CASE IN BRIEF ARE THAT THE ASSESSEE FILED THE APPLICATION ON 22.03.2016 SEEKING REGISTRATION U/S 12AA OF THE ACT. THE LD. CIT(E) REJECTED THE APPLICATION BY OBSERVING THAT THE DETAILS WERE REQUIRED TO BE FILED ON 22.04.2 016 BUT NOBODY APPEARED AND NO REPLY HAD BEEN RECEIVED. HE FURTHER OBSERVED THAT SH. ANIL JAIN, ADVOCATE AND AR OF THE COMPANY APPEARED ON 05.04.2016 AND FILED THE PART DETAILS AND REQUESTED TO ADJOURN THE CASE FOR FURNISHING OF THE REMAINING DOCUMENTS. TH E LD. CIT(E) REJECTED THE APPLICATION BY OBSERVING THAT IN THE ABSENCE OF REQUISITE DETAILS , SATISFACTION WITH RESPECT TO GENUINENESS OF THE ACTIVITIES CANNOT BE REACHED. HE ALSO MENTIONED THAT THE ASSESSEE IS AT LIBERTY TO REPLY FOR REGISTRATION U/S 12AA OF THE ACT AND EXEMPTION U/S 80G OF THE ACT AFTER COMPLETING THE REQUISITE DETAILS. 5. NOW THE ASSESSEE IS IN APPEAL. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT PROPER OPPORTUNITY OF BEING HEARD WAS NOT PROVIDED BY THE LD. CIT(E) BEFORE REJECTING THE APPLICATION FILED BY THE ASSESSEE. 6. IN HIS RIVAL SUBMISSIONS, THE LD. SR. DR SUPPORTED THE IMPUGNED ORDER PASSED BY THE LD. CIT(E). ITA NO . 5187 /DE L/2016 I - SUCCEED NETWORK 3 7. WE HAVE CONSIDERED THE SUBMISSIONS OF BOTH THE PARTIES AND PERUSED THE MATERIAL AVAILABLE ON THE RECORD. IN THE PRES ENT CASE, IT IS NOTICED THAT THE LD. CIT(E) ON THE ONE HAND OBSERVED THAT THE ASSESSEE WAS REQUIRED TO FILE THE REQUISITE DETAILS BY 22.04.2016 BUT NOBODY APPEARED, ON THE OTHER HAND, HE MENTIONED IN THE IMPUGNED ORDER THAT ON 05.04.2016, SH. ANIL JAIN, AD VOCATE AND AR OF THE ASSESSEE COMPANY APPEARED AND FILED THE PART DETAILS. THEREFORE, THE STAND OF THE LD. CIT(E) IS CONTRARY, ON THE ONE HAND HE I S SAYING THAT NOBODY APPEARED, ON THE OTHER HAND, HE SAID THAT THE REPRESENTATIVE OF THE ASSESSEE APPEARED AN D FILED PART DETAILS. WE, THEREFORE, CONSIDERING THE CONTRARY STAND OF THE LD. CIT(E) RESTOR E THIS CASE BACK TO HIS FILE FOR RE - ADJUDICATION AFRESH IN ACCORDANCE WITH LAW AFTER PROVIDING DUE AND REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 8 . IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES . ( ORDER PRON OUNCED IN THE COURT ON 29/01 / 2018 ) SD/ - SD/ - ( K. N. CHARY ) (N. K. SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER D ATED: 29/01 /2018 *SUBODH* COPY FORWARDED TO: 1 . APPELLANT 2 . RESPONDENT 3 . CIT 4 . CIT(APPEALS) 5 . DR: ITAT ASSISTANT REGISTRAR