M/s Dakshin Kali Peeth Cheritable Trust, Indore V. The Commissioner of Income Tax -I, Indore

ITA 613/IND/2010

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 53962 (ITAT-INDORE)
• Duration Of Justice: 10 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-10-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: misc
• Appeal Filed On: 29-11-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ARUN DEWAN
• Assessee Lawyers: NARENDRA JAIN
• Section: 12A

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER AND SHRI R.C. SHARMA, ACCOUNTANT MEMBER ITA NO.613/IND/2010 DAKSHIN KALI PEETH CH. TRUST INDORE PAN AABTD-3699K ... APPELLANT VS COMMISSIONER OF INCOME TAX INDORE ... RESPONDENT APPELLANT BY : SHRI NARENDRA JAIN DEPARTMENT BY : SHRI ARUN DEWAN, SR. DR DATE OF HEARING : 18.10.2011 DATE OF PRONOUNCEMENT : 18.10.2011 O R D E R PER JOGINDER SINGH THIS APPEAL IS BY THE ASSESSEE CHALLENGING THE ORD ER DATED 30.9.2010 OF THE LEARNED COMMISSIONER OF INCO ME TAX ON THE PLEA THAT REGISTRATION U/ 12A/12AA WAS WRONG LY DENIED. 2 2. DURING HEARING OF THIS APPEAL, THE CRUX OF ARGUM ENTS ADVANCED BY SHRI NARENDRA JAIN, LEARNED COUNSEL FOR THE ASSESSEE IS THAT REASONABLE OPPORTUNITY OF BEING HE ARD WAS NOT GRANTED TO THE ASSESSEE, THE GENUINENESS OF OBJECTS OF THE TRUST AND ITS ACTIVITIES WAS NOT CONSIDERED, THE BOOKS OF ACCOUNT, VOUCHERS, ETC. WERE CRITICALLY VERIFIED/EXAMINED AN D SATISFACTION WAS RECORDED ABOUT THE GENUINENESS OF THE TRUST. I T WAS FURTHER CONTENDED THAT THE APPLICATION FOR REGISTRATION WAS FILED WITH THE LEARNED CIT ON 17.3.2010. IT WAS FURTHER SUBMITTED THAT ON THE BASIS OF FACTS THE ITO (TECH.) RECOMMENDED FOR GRAN T OF REGISTRATION AND ON 28.9.2010 A SHOW CAUSE NOTICE W AS HANDED OVER TO THE COUNSEL OF THE TRUST TO MAKE CERTAIN AM ENDMENTS AND SAID NOTICE WAS SERVED UPON THE ASSESSEE TRUST AT 7.00 P.M. AND THE ASSESSEE WAS DIRECTED TO FILE THE REPL Y ON 28.9.2010 ITSELF, THEREFORE, IT WAS NOT POSSIBLE TO AMEND THE TRUST DEED. ON THE OTHER HAND, THE LEARNED SR.DR DEFENDED THE ORDER BY SUBMITTING THAT SUFFICIENT OPPORTUNITY WAS GRANTED TO THE ASSESSEE. 3 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND P ERUSED THE MATERIAL AVAILABLE ON FILE. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE TRUST APPLIED FOR GRANT OF REGISTRATION AN D THUS MOVED APPLICATION U/S 12A READ WITH RULE 17A OF THE IT RU LES, 1962 IN THE PRESCRIBED PROFORMA ON 17.3.2010. THE OBJECTS OF THE TRUST INCORPORATED IN THE TRUST DEED WERE EXAMINED AND IT WAS FOUND THAT THERE WAS NO DISSOLUTION CLAUSE IN THE TRUST D EED. THE ASSESSEE ON 28.9.2010 WAS ISSUED SHOW CAUSE NOTICE TO AMEND THE TRUST DEED. THIS SHOW CAUSE NOTICE WAS S ERVED ON THE ASSESSEE AT 7.00 PM ON 28.9.2010 AND THE ASSESS EE WAS EXPECTED TO FILE THE REPLY ON THE SAME DATE ITSELF. WE ARE OF THE VIEW THAT IT WAS NOT POSSIBLE FOR THE ASSESSEE TO A MEND THE TRUST DEED, REGISTERED WITH THE REGISTRAR OF PUBLIC TRUST ON THE SAME DAY ITSELF. EVEN THE ASSESSEE FILED UNCONDITIO NAL UNDERTAKING IN THE OFFICE OF THE LEARNED CIT TO CAR RY OUT THE NECESSARY DIRECTION. HOWEVER, THE LEARNED CIT DENIE D REGISTRATION AT THE FAG END OF THE LIMITATION PERIO D OF 6 MONTHS. IN VIEW OF THESE FACTS, WE ARE OF THE CONSIDERED OP INION THAT THE ASSESSEE BE GIVEN DUE OPPORTUNITY WITH FURTHER LIBE RTY TO FURNISH 4 EVIDENCE IF ANY IN SUPPORT OF ITS CLAIM. THEREFORE , THIS APPEAL IS REMANDED BACK TO THE FILE OF CIT FOR FRESH ADJUDICA TION IN ACCORDANCE WITH LAW. FINALLY, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES ONLY . ORDER WAS PRONOUNCED IN THE OPEN IN THE PRESENCE O F LEARNED REPRESENTATIVES FROM BOTH THE SIDES AT THE CONCLUSION OF THE HEARING. SD SD (R.C.SHARMA) (JOGINDER SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 18.10.2011 COPY TO: APPELLANT, RESPONDENT, CIT, CIT(A), DR, GU ARD FILE DN/-