Avdhoot-Jagan Charitable Trust, New Delhi V. DIT(E), Delhi

ITA 663/DEL/2011

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 4271 (ITAT-DELHI)
• Duration Of Justice: 2 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-04-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 06-04-2011
• Assessment Year: misc
• Appeal Filed On: 04-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MRS ANUSHA KHURANA
• Assessee Lawyers: HARISH KAPOOR
• Keywords: Charitable institution; Opportunity of being heard
• Section: 80G

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH `A: NEW DELHI BEFORE SHRI G.E. VEERABHADRAPPA, VICE PRESIDENT AND SHRI C.L.SETHI, JUDICIAL MEMBER. I.T. A. NO.663/DEL/2011 ASSESSMENT YEAR: N.A. AVDHOOT-JAGAN CHARITABLE TRUST, DIRECTOR OF INCOME -TAX (EXEMPTIONS), 14, TRANSPORT CENTRE, VS. DELHI. ROHTAK ROAD, PUNJABI BAGH, NEW DELHI. PAN: AACT3334R (APPELLANT) (RESPONDENT) APPELLANT BY: SHRI HARISH KAPOOR, CA. RESPONDENT BY: MRS. ANUSHA KHURANA, SR.DR. O R D E R PER C.L. SETHI, JUDICIAL MEMBER: THE ASSESSEE TRUST IS IN APPEAL AGAINST THE ORDER D ATED 08.10.2010 PASSED BY THE DIRECTOR OF INCOME-TAX (EXEMPTIONS) U NDER SEC. 80G(5)(VI) OF THE INCOME-TAX ACT, 1961 (THE ACT) READ WITH RULE 1 1AA OF THE INCOME-TAX RULES, 1962. 2. THE GROUNDS RAISED BY THE ASSESSEE ARE AS UNDER: - 1. THAT THE LEARNED DIRECTOR OF INCOME TAX (EXEMPT IONS) HAS ERRED IN LAW AND ON FACTS IN DECLINING THE CONTINU ATION OF APPROVAL UNDER SECTION 80G(5)(VI) OF THE INCOME TAX ACT, 1961 TO THE TRUST. 2 2. THAT THE LEARNED DIRECTOR OF INCOME TAX (EXEMPTI ONS) HAS ERRED IN LAW AND ON FACTS IN NOT CONSIDERING THE DOCUMENTS/EVIDENCES ON RECORD AS FILED VIDE LETTER DATED 27 TH APRIL, 2010 ALONG WITH FORM 10G FILED FOR GRANT OF THE APPROVAL TO THE TRUST UNDER SECTION 80G(5)(VI) OF T HE INCOME TAX ACT, 1961. 3. THE ASSESSEE FILED AN APPLICATION ON 27.04.2010 IN FORM NO.10G SEEKING RENEWAL OF EXEMPTION UNDER SEC. 80G OF THE ACT. THE DIRECTOR OF INCOME-TAX (EXEMPTIONS) HAS REJECTED THE ASSESSEES APPLICATION IN THE ABSENCE OF EVIDENCE OF ACTIVITIES CALLED BY HIM FRO M THE ASSESSEE VIDE HIS NOTICES. THE DIT(E) HAS REJECTED THE ASSESSEES AP PLICATION FOR WANT OF EVIDENCES AS THE ASSESSEE FAILED TO APPEAR BEFORE H IM ON THE FINAL DATE OF HEARING FIXED ON 13.09.2010. 4. WE FIND THAT EXEMPTION U/S 80G(5)(VI) WAS ALLOWE D TO THE ASSESSEE TRUST FOR THE PERIOD FROM 1.04.2007 TO 31.03.2009 V IDE ORDER DATED 22.10.2007. THE PRESENT APPLICATION WAS MADE FOR G RANT OF CONTINUOUS OF APPROVAL UNDER SEC. 80G(5)(VI) OF THE ACT. 5. IN THE COURSE OF HEARING OF THIS APPEAL, THE LEA RNED COUNSEL FOR THE ASSESSEE POINTED OUT THAT THE LEARNED DIT(E) HAS NO T CONSIDERED THE VARIOUS DOCUMENTS OR EVIDENCES FILED VIDE ASSESSEES LETTER DATED 27 TH APRIL, 2010 ALONG WITH FORM NO.10G. THE LEARNED COUNSEL FOR TH E ASSESSEE FURTHER CONTENDED THAT DUE TO UNAVOIDABLE CIRCUMSTANCES, TH E ASSESSEES AUTHORIZED REPRESENTATIVE SHRI VIPIN RATURI COULD NOT APPEAR B EFORE THE DIT(E) ON 3 13.09.2010 AND THEREFORE, THE ASSESSEE SHOULD BE PR OVIDED FURTHER OPPORTUNITY TO SUPPORT AND SUBSTANTIATE ITS APPLICA TION FOR CONTINUATION OF APPROVAL UNDER SEC. 80G(5)(VI) OF THE ACT. 6. AFTER CONSIDERING THE FACTS OF THE CASE AND HEAR ING BOTH THE PARTIES, WE ARE OF THE CONSIDERED VIEW THAT ONE MORE OPPORTUNIT Y SHOULD BE GIVEN TO THE ASSESSEE TO SUBSTANTIATE ITS CASE FOR RENEWAL OF AP PROVAL UNDER SEC. 80G(5)(VI) OF THE ACT. WE, THEREFORE, RESTORE THIS MATTER BACK TO THE FILE OF THE DIT(E) FOR HIS FRESH ADJUDICATION AFTER CONSIDE RING ALL THE DOCUMENTS AND DETAILS ALREADY FILED ALONG WITH APPLICATION AND AF TER CONSIDERING SUCH EVIDENCES OR MATERIAL AS MAY BE REQUIRED BY THE DIT (E) FOR HIS VERIFICATION. THE ASSESSEE SHALL PRODUCE ALL THE REQUIRED DETAILS OR DOCUMENTS BEFORE THE DIT(E) FOR HIS EXAMINATION AND VERIFICATION. THE D IRECTOR OF INCOME-TAX (EXEMPTIONS) SHALL DECIDE THE MATTER AFRESH AS PER PROVISIONS OF LAW AFTER PROVIDING REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE TRUST. WE ORDER ACCORDINGLY. 7. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS TREATED TO BE ALLOWED FOR A STATISTICAL PURPOSE. 8. THIS DECISION IS PRONOUNCED IN THE OPEN COURT ON 8 TH APRIL, 2011. SD/- SD/- (G.E. VEERABHADRAPPA) (C.L. SETHI) VICE PRESIDENT JUDICIAL MEMBER DATED: 8 TH APRIL, 2011. 4 ITA NO.663/DEL/2011. COPY OF THE ORDER FORWARDED TO:- 1. APPELLANT 2. RESPONDENT 3. DIT(E) 4. DR BY ORDER *MG DEPUTY REGISTRAR, ITAT.