Orissa Diploma Engineers Service Association, Bhubaneswar V. ACIT, (CPC), Bangalur

ITA 56/CTK/2022

AI Insights

The case involves the Orissa Diploma Engineers Service Association appealing against the orders of the CIT(A), NFAC, Delhi, which were dated 23.3.2021 and 24.3.2021 for the assessment years 2012-13 and 2015-16 respectively. The appeals were initially barred by limitation but were admitted after the tribunal found reasonable cause for the delay. The primary contention was the non-granting of exemption under section 12A of the Income Tax Act in the intimation issued by the AO. The assessee argued that due to the COVID-19 pandemic, they were unable to represent their case before the CIT(A), leading to an ex-parte order. The tribunal noted factual mistakes in the intimation and the lack of representation at lower levels, deciding to restore the matter to the AO for a fresh examination.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 300315 (ITAT-CUTTACK)
• Duration Of Justice: 9 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-02-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: DB
• Next Hearing Date: 06-02-2023
• Assessment Year: 2015-2016
• Appeal Filed On: 21-04-2022
• Other Referred Cases: CIT vs Bharatiya Samskriti Vidyapith Trust (2014) 43 taxmann.com 295 (Karnataka)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Reasonable cause; Benefit of exemption
• Section: 43; 22

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, BEFORE AND ARUN KHODPIA, ACCOUNTANT MEMBER Orissa Diploma Engineers Service Association, At Kharabela Nagar, Sri Aurobindo Marg, Bhubaneswar. PAN/GIR No. (Appellant Per Bench These are of the ld CIT(A) ITBA/NFAC/S/250/2020 13 and No. ITBA/NFAC/S/250/2020 year 2015-16. IN THE INCOME TAX APPELLATE TRIBUNAL, CUTTACK BENCH, CUTTACK BEFORE S/SHRI GEORGE MATHAN, JUDICIAL AND ARUN KHODPIA, ACCOUNTANT MEMBER ITA Nos.55 & 56/CTK/2022 Assessment Years : 2012-13 & 2015 Orissa Diploma Engineers Service Association, At-7, Kharabela Nagar, Sri Aurobindo Marg, Bhubaneswar. Vs. ITO, Ward 1(2), Bhubaneswar PAN/GIR No.AAATO 0709 N (Appellant) .. ( Respondent Assessee by : Shri P.K.Mishra, AR Revenue by : Shri S.C.Mohanty, Sr Date of Hearing : 7/02 Date of Pronouncement : 7/02 O R D E R These are appeals filed by the assessee against the of the ld CIT(A), NFAC, Delhi, dated 23.3.2021 & 24.3.2021 ITBA/NFAC/S/250/2020-21/1031681469(1) for the assessment year 2012 ITBA/NFAC/S/250/2020-21/1031712334(1) 16. Page1 | 4 IN THE INCOME TAX APPELLATE TRIBUNAL, JUDICIAL MEMBER AND ARUN KHODPIA, ACCOUNTANT MEMBER 22 13 & 2015-16 ITO, Ward 1(2), Bhubaneswar Respondent) P.K.Mishra, AR : Shri S.C.Mohanty, Sr DR 2/2023 2/2023 filed by the assessee against the separate orders 23.3.2021 & 24.3.2021 in Appeal No. 21/1031681469(1) for the assessment year 2012- 21/1031712334(1) for the assessment ITA Nos.55 & 56/CTK/2022 Assessment Years : 2012-13 & 2015-16 Page2 | 4 2. Shri P.K.Mishra, ld AR appeared for the assessee and Shri S.C.Mohanty, ld Sr DR appeared for the revenue. 3. The appeals for the assessment years 2012-13 and 2015-16 are barred by limitation by 335 days and 334 days. The assessee has filed condonation petitions dated 22 .4. 2022 for condoning the delay in filing the appeals giving the reasons. After considering the petitions and also hearing the parties, we are satisfied that there was reasonable cause in not filing the appeals on time. Therefore, we condone the delay and admit the appeals for hearing on merits. 4. It was submitted by ld AR that the assessee has claimed exemption u/s.12A in the return of income filed. However, in the intimation issued for the assessment years 2012-13 & 2015-16, the AO has not granted the benefit of exemption u/s.12A of the Act. It was the submission that it was due to the Corona period, the assessee was unable to represent its case before the ld CIT(A), which has resulted an exparte order. It was the prayer that the issues may be restored to the file of the AO for readjudication. It was the submission that the issue was squarely covered by the decision of the Hon’ble Karnataka High Court in the case of CIT vs Bharatiya Samskriti Vidyapith Trust (2014) 43 taxmann.com 295 (Karnataka). ITA Nos.55 & 56/CTK/2022 Assessment Years : 2012-13 & 2015-16 Page3 | 4 5. In reply, ld Sr DR vehemently supported the orders of the ld CIT(A). It was the submission that the assessee has not represented its case before the ld CIT(A). 6. We have considered the rival submissions. A perusal of the orders of the ld CIT(A) admittedly show that the appeals have been dismissed on account of non-representation. A perusal of the intimation u/s.143(1) of the Act shows that there are factual mistakes in the intimation, which call for rectification. In any case, as the assessee has not been heard by any of the authorities below, in the interest of the justice, the issues in both the appeals are restored to the file of the AO for re-adjudication in respect of intimation u/s.143(1) of the Act. 7. In the result, both the appeals of the assessee stand partly allowed for statistical purposes. Order dictated and pronounced in the open court on 07/02/2023. Sd/- sd/- (Arun Khodpia) (George Mathan) ACCOUNTANT MEMBER JUDICIAL MEMBER Cuttack; Dated 07/02/2023 B.K.Parida, SPS (OS) ITA Nos.55 & 56/CTK/2022 Assessment Years : 2012-13 & 2015-16 Page4 | 4 Copy of the Order forwarded to : By order Sr.Pvt.secretary ITAT, Cuttack 1. The Appellant : Orissa Diploma Engineers Service Association, At-7, Kharabela Nagar, Sri Aurobindo Marg, Bhubaneswar 2. The Respondent: ITO, Ward 1(2), Bhubaneswar 3. The CIT(A)-NFAC, Delhi, 4. Pr.CIT-, Bhuabneswar 5. DR, ITAT, Cuttack 6. Guard file. //True Copy//