Shri Santam Dharam Dharamshala society, Raman V. The Income-tax Officer, Bathinda

ITA 633/ASR/2013

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 3838 (ITAT-AMRITSAR)
• Duration Of Justice: 5 year(s) 9 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-08-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 20-08-2019
• Assessment Year: 2008-2009
• Appeal Filed On: 25-10-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Charitable institution; Opportunity of being heard; Additional evidence; Set aside
• Section: 12AA; 68; 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE SH. B. R. BASKARAN, ACCOUNTANT MEMBER AND SH. N. K. CHOUDHRY, JUDICIAL MEMBER I.T.A. NO. 633/ASR/2013 A SSESSMENT YEAR: 2008-09 SHRI SANATAM DHARAM DHARAMSHALA SOCIETY, OPP. CIVIL HOSPITAL, RAMAN [PAN: AAHTS 2871C] VS. INCOME TAX OFFICER WARD 1(2), BATHINDA (APPELLANT) (RESPONDENT) APPELLANT BY : NONE RESPONDENT BY: SH. CHARAN DASS (D.R.) DATE OF HEARING: 20.08.2019 DATE OF PRONOUNCEMENT: 20.08.2019 ORDER PER B. R. BASKARAN, ACCOUNTANT MEMBER: THE ASSESSEE HAS FILED THIS APPEAL CHALLENGING THE ORDER DATED 27-08-2013 PASSED BY LD CIT(A), BATHINDA AND IT RELATES TO THE ASSESSMENT YEAR 2008-09. 2. NONE APPEARED ON BEHALF OF THE ASSESSEE. WE NOTICE FROM THE RECORD THAT THE ASSESSEE HAS APPEARED BEFORE THE BENCH AND SOUGHT A DJOURNMENTS ON SEVERAL OCCASIONS. HENCE WE PROCEED TO DISPOSE OF THE APPE AL EX-PARTE, WITHOUT THE PRESENCE OF THE ASSESSEE. 3. WE HEARD LD D.R AND PERUSED THE RECORD. THE ASSESSEE IS A CHARITABLE TRUST AND IS REGISTERED U/S 12AA OF THE ACT. THE AO NOTI CED THAT THE ASSESSEE HAS ITA NO. 633/ASR/2013 (AY 2008-09) SANATAM DHARAM DHARAMS HALA SOCIETY V. ITO 2 RECEIVED DONATIONS TO THE TUNE OF RS.77.63 LAKHS DU RING THE YEAR UNDER CONSIDERATION. HE FURTHER NOTICED THAT THE DONATIO NS TO THE TUNE OF RS.39.91 LAKHS HAVE BEEN SHOWN AS GUPT DONATIONS, I.E., ANONYMOU S DONATIONS. THE REMAINING AMOUNT OF DONATIONS OF RS.40.72 LAKHS WAS SHOWN AS RECEIVED FROM CERTAIN PERSONS, WHO HAVE BEEN IDENTIFIED. SINCE THE ASSESS EE DID NOT FURNISH THE DETAILS CALLED FOR BY THE AO, HE COMPLETED THE ASSESSMENT T O THE BEST OF HIS JUDGMENT U/S 144 OF THE ACT, WHEREIN (A) THE AO ASSESSED THE GUPT DONATIONS OF RS.39. 91 LAKHS AS INCOME OF THE ASSESSEE U/S 115BBC OF THE ACT AND (B) THE AO ASSESSED THE REMAINING AMOUNT OF DONATI ONS OF RS.40.72 LAKHS AS INCOME OF THE ASSESSEE U/S 68 OF THE ACT. 4. IN THE APPELLATE PROCEEDINGS, THE LD CIT(A) CO NFIRMED THE ADDITION OF RS.39.91 LAKHS. HOWEVER, HE DELETED THE ADDITION OF RS.40.7 2 LAKHS HOLDING THAT THE CONDITIONS PRESCRIBED IN SEC. 68 OF THE ACT CANNOT BE APPLIED TO THE DONATIONS RECEIVED BY A CHARITABLE TRUST. 5. WITH REGARD TO THE ADDITION OF RS.39.91 LAKH S, BEFORE LD CIT(A), THE ASSESSEE FURNISHED THE NAME AND OTHER DETAILS OF PERSONS FRO M WHOM THE GUPT DONATIONS OF RS.36.91 LAKHS WERE RECEIVED. THE ASSESSEE SOUG HT ADMISSION OF THE SAME AS ADDITIONAL EVIDENCES U/R 46A OF THE I.T RULES. HEN CE THE LD CIT(A) CALLED FOR A REMAND REPORT FROM THE AO. IN THE REMAND REPORT, T HE AO OBJECTED TO THE ADMISSION OF ADDITIONAL EVIDENCES. HOWEVER, THE LD CIT(A) AGREED TO CONSIDER THEM. THE OBSERVATIONS MADE BY LD CIT(A) ARE EXTRA CTED BELOW FOR THE SAKE OF CONVENIENCE:- ITA NO. 633/ASR/2013 (AY 2008-09) SANATAM DHARAM DHARAMS HALA SOCIETY V. ITO 3 I FIND THAT THE APPLICATION OF ADDITIONAL EVIDEN CE IS NOTHING BUT DETAIL OF DONATION RECEIVED BY THE TRUST. OUT OF THESE SOME CONTAINS NAME AND ADDRESS OF THE PERSONS AND OTHERS ARE SHOWN AS GUPT DAN. THEREFORE, FOR DISPOSING OF THE CASE, I AM CONSIDERING THIS EVIDENCE IN THE INTEREST OF JUSTICE AND THE APPEAL IS DECIDED AS UNDER. 6. WE NOTICE THAT THE LD CIT(A), HAVING OBSERVED SO, HAS UPHELD THE ASSESSMENT OF RS.36.91 LAKHS U/S 115BC OF THE ACT. HOWEVER, W E FIND NO DISCUSSION IN THE ORDER OF LD CIT(A) ABOUT THE ADDITIONAL EVIDENCES F URNISHED BY THE ASSESSEE. IN EFFECT, WE NOTICE THAT THE LD CIT(A) HAS NOT CONSID ERED THE ADDITIONAL EVIDENCES FURNISHED BY THE ASSESSEE. FROM THE SUBMISSIONS MA DE BY THE ASSESSEE BEFORE LD CIT(A), WE NOTICE THAT THE ASSESSEE HAS FURNISHED T HE NAME AND ADDRESS OF THE PERSONS WHO HAVE DONATED THE ABOVE SAID AMOUNT OF R S.36.91 LAKHS, EVEN THOUGH IT WAS MENTIONED AS GUPT DHAN INITIALLY. WE HAVE NOTICED EARLIER THAT THE LD CIT(A) HAD DELETED THE ADDITION OF RS.40.72 LAKHS B Y HOLDING THAT THE CONDITIONS PRESCRIBED IN SEC.68 OF THE ACT ARE NOT APPLICABLE TO THE DONATION RECEIVED BY THE ASSESSEE AND CONSIDERING THE NAME AND ADDRESS OF TH E DONORS. 7. WITH REGARD TO THE ADDITION OF RS.36.91 LAKHS , IT IS THE CLAIM OF THE ASSESSEE IS THAT IT HAS FURNISHED THE DETAILS OF NAME AND ADDRE SS OF THE DONORS. HOWEVER, AS NOTED EARLIER, THE SAME WAS NOT CONSIDERED BY LD CI T(A). HENCE, WE ARE OF THE OPINION THAT THIS ISSUE REQUIRES FRESH EXAMINATION AT THE END OF LD CIT(A) BY PROPERLY CONSIDERING THE ADDITIONAL EVIDENCES FURNI SHED BY THE ASSESSEE. ACCORDINGLY, WE SET ASIDE THE ORDER PASSED BY LD CI T(A) ON THIS ISSUE AND RESTORE THE SAME TO HIS FILE FOR EXAMINING IT AFRESH BY DUL Y CONSIDERING THE ADDITIONAL EVIDENCES FURNISHED BY THE ASSESSEE. AFTER AFFORDI NG ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE, THE LD CIT(A) MAY TAKE APPRO PRIATE DECISION IN ACCORDANCE WITH LAW. ITA NO. 633/ASR/2013 (AY 2008-09) SANATAM DHARAM DHARAMS HALA SOCIETY V. ITO 4 8. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN CO URT ON AUGUST 20, 2019 SD/- SD/- (N. K. CHOUDHRY) (B. R. BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER DATE: 20.08.2019 /GP/SR. PS. COPY OF THE ORDER FORWARDED TO: (1) THE APPELLANT: (2) THE RESPONDENT: (3) THE CIT(APPEALS) (4) THE CIT CONCERNED (5) THE SR. DR, I.T.A.T TRUE COPY BY ORDER