Appeal details
Counselvise Citation
[2021] 109 COUNSELVISE.COM (IT) 0788 (ITAT-HYDERABAD)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
3 year(s) 10 month(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
25-02-2021
Appeal Filed By
Assessee
Order Result
Partly Allowed
Bench Allotted
DB-A
Next Hearing Date
04-02-2021
Assessment Year
misc
Appeal Filed On
25-04-2017
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES A: HYDERABAD (THROUGH VIRTUAL CONFERENCE) BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER S. NO. ITA NO. APPELLANT RESPOND ENT 1 1131/H/2017 SAHAYATHA, PROHIBITION & EXCISE DEPARTMENT, ANDHRA PRADESH STATE EMPLOYEES THRIFT AND BENEVOLENT MUTUAL ASSOCIATION, VIJAYAWADA. PAN AAHTS 2918 Q COMMISSIONER OF INCOME - TAX, EXEMPTIONS, HYDERABAD. 2 711/H/2017 AROGYA SAHAYATHA, PROHIBITION & EXCISE DEPARTMENT, TELANGANA STATE EMPLOYEES HEALTH AND MEDICAL WELFARE TRUST, HYDERABAD. PAN AAFTA 0396N - DO - 3 712/H/2017 SAHAYATHA, PROHIBITION & EXCISE DEPARTMENT, TELANGANA STATE EMPLOYEES THRIFT AND BENEVOLENT MUTUAL ASSOCIATION, HYDERABAD. PAN AADAP 6846R - DO - 4 1629/H/2017 AROGYA SAHAYATHA, ANDHRA PRADESH PROHIBITION & EXCISE DEPARTMENT EMPLOYEES HEALTH AND MEDICAL WELFARE TRUST, VIJAYAWADA. PAN AACTA 1829M - DO - ASSESSEE BY: SHRI Y.V. BHANU NARAYANA REVENUE BY: SHRI S IBENDU MOHARANA DATE OF HEARING: 04 /0 2 /2021 DATE OF PRONOUNCEMENT: 25 /0 2 /2021 O R D E R PER BENCH: TH E INSTANT BATCH OF FOUR APPEALS PERTAINS TO AS MANY ASSESSEES MENTIONED IN THE CAUSE TITLE. RELEVANT DETAILS OF THESE CASES ARE AS FOLLOWS: I TA NO. 1131/H/17 AND OTHERS : - 2 - : S.NO. ITA NO. AUTHORITYS ORDER DATED/CASE NO. PROCEEDINGS U/S 01 1131/H/2017 CIT(E), HYDERABAD, 30/11/2016, CASE NO. CIT(E)/ H YD/78(5)/ 12A&80G/ 2016 - 17 12A&80G 02 711/HYD/2017 CIT(E), HYDERABAD, 20/01/2017, CASE NO. CIT(E)/HYD/72(08)/ 12A&80G/2016 - 17. - DO - 03 712/H/2017 CIT(E), HYDERABAD, 15/12/2016, CASE NO. CIT(E)/HYD/73(08)/ 12A&80G/2016 - 17 - DO - 04 1629/H/2017 CIT(E), HYDERABAD, 30/11/2016, CASE NO. CIT(E)/HYD/81(5)/ 12A&80G/2016 - 17 - DO - 2. WE NOTICE AT THE OUTSET THAT ASSESSEE S APPEAL S SUFFER FROM 28 DAYS DELAY IN ITA NOS 711 & 712/H/2017 AND 127 DAYS DELAY IN ITA NO. 1131/HYD/2019 ; RESPECTIVELY. THEY HAVE FILED CONDONATION PETITION ( S ) ALONG WITH THE AFFIDAVIT S AVERRING THEREIN THAT THE RE WAS A COMMUNICATION GAP WITH THE AUDITORS OFFICE AS WELL AS THE AUDITORS O FFICE WAS PREOCCUPIED WITH THE WORK RELATED TO PRADHAN MANTRI GARIB KALYAN YOJANA CAUS ING THE IMPUGNED DELAY IN FILING OF THE INSTANT APPEAL S . CASE LAW COLLECTOR LAND ACQUISITION VS MST. KATIJI & ORS, 1987 AIR 1353 (SC) AND UNIVERSITY OF DELHI VS. UNION OF INDIA, CIVIL APPEAL NO. 9488 & 9489/2019 DATED 17 DECEMBER, 2019 HOLD THAT SUCH A DELAY; SUPPORTED BY COGENT REASONS, DESERVES TO BE CONDONED SO AS TO MAKE WAY FOR THE CAUSE OF SUBSTANTIAL JUSTICE. WE ACCORDINGLY HOLD THAT ASSESSEES IMPUGNED I TA NO. 1131/H/17 AND OTHERS : - 3 - : DELAY S ARE NEITHER INTENTIONAL NOR DELIBERATE BUT DUE TO THE CIRCUMSTANCES BEYOND THEIR CONTROL. CASE S ARE NOW TAKEN UP FOR ADJUDICATION ON MERITS. 3. HEARD BOTH THE ASSESSEE S AND DEPARTMENT . 4 . IT TRANSPIRES DURING THE COURSE OF HEARING THAT THESE ASSESSEES IDENTICAL SOLE SUBSTANTIVE GRIEVANCE IS THAT THE CIT(E) ORDERS UNDER CHALLENGE HAVE ERRED IN LAW AND ON FACTS IN DENYING THEM SECTION 12AA REGISTRATION. HE H AS TERMED ASSESSEE S OBJECTS AS BENEFICIAL FOR EMPLOYEES OF THE STATE GOVERNMENT ONLY WITHOUT INVOLVING ANY CHARITABLE PURPOSES U/S 2(15) OF THE ACT THEREBY LA CKING THE BROADER SOCIAL INTEREST. 5. L EARNED A UTHORISED R EPRESENTATIVE S CASE ON THE OTHER HAND IS THAT THESE ASSESSEES/SOCIETIES RESPECTIVE OBJECTIVE CLAUSES AS WELL AS THEIR ACTIVITIES AIM FOR HELPING EMPLOYEES HEREINABOVE FACING FINANCIAL CRISES WITHOUT ANY AID(S) FROM THE RECOGNIZED FINANCIAL INSTITUTIONS IN NORMAL COURS E. WE I TA NO. 1131/H/17 AND OTHERS : - 4 - : ARE OF THE VIEW IN THIS PECULIAR BACKDROP THAT LARGER INTEREST OF JUSTICE WOULD BE SERVED IN CASE LEARNED CIT(E) EXAMINES ENTIRE ISSUE IN DISPUTE AFRESH IN THE LIGHT OF THE MATERIAL/RECORDS COMING FROM THE TAXPAYERS SIDE. WE ORDER ACCORDINGLY. WE DIR ECT ALL THESE ASSESSEES TO APPEAR BEFORE CIT(E) ON OR BEFORE 31 ST JULY, 2021 WITH ALL THE RELEVANT EVIDENCES; AT THEIR OWN RISK AND RESPONSIBILITY TO BE FOLLOWED BY THREE EFFECTIVE OPPORTUNITIES OF HEARING. 6. MR. MOHARANA LASTLY POINTED OUT THAT THESE ASSESSEES HAVE ALSO CLAIMED THEMSELVES AS COVERED UNDER MUTUALITY PRINCIPLE . WE QUOTE INVESTORS CLUB TRICHUR VS. CIT [2008] 318 ITR 427 (KERALA) HOLDS THAT ONCE ASSESSEES THEMSELVES HAVE SOUGHT REGISTRATION AS CAR RYING CHARITABLE ACTIVITY U/S 2(15) RWS 12AA OF THE ACT, MUTUALITY PRINCIPLE DO ES NOT APPLY . WE THUS DIRECT THE DEPARTMENT THAT NO T TO TREAT THE ASSESSEES AS ELIGIBLE FOR MUTUALITY BENEFIT IN VIEW THEREOF. I TA NO. 1131/H/17 AND OTHERS : - 5 - : 7. THESE ASSESSEES APPEALS ARE PARTLY ALLOWED FOR STATISTICAL PURPOSES IN ABOVE TERMS. PRONOUNCED IN THE OPEN COURT ON 25 TH FEBRUARY , 2021 . SD/ - SD/ - ( LAXMI PRASAD SAHU) ( S.S. GODARA ) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDE RABAD, DATED : 25 TH FEBRUARY , 20 2 1 . K V C OPY TO : 1 SAHAYATHA, PROHIBITION & EX CISE DEPARTMENT, ANDHRA PRADESH STATE EMPLOYEES THRIFT AND BENEVOLENT MUTUAL ASSOCIATION, COMMISSIONER P & E, POULTRY FARM ROAD, VIJAYAWADA 521108. 2 AROGYA SAHAYATHA, PROHIBITION & EXCISE DEPARTMENT, TELANGANA STATE EMPLOYEES HEALTH AND MEDICAL WELFARE TRUST, 5 TH FLOOR, C - BLOCK, EXCISE COMPLEX, MJ ROAD, NAMPALLY, HYDERABAD 500 001 3 SAHAYATHA, PROHIBITION & EXCISE DEPARTMENT, TELANGANA STATE EMPLOYEES THRIFT AND BENEVOLENT MUTUAL ASSOCIATION, 5 TH F LOOR, C - BLOCK, EXCISE COMPLEX, MJ ROAD, NAMPALLY, HYDERABAD 500 001 4 AROGYA SAHAYATHA, ANDHRA PRADESH PROHIBITION & EXCISE DEPARTMENT EMPLOYEES HEALTH AND MEDICAL WELFARE TRUST, , COMMISSIONER P & E, POULTRY FARM ROAD, VIJAYAWADA 521108. 5 CIT(E), HYDERABAD 6 ITO(E), WARD 4, HYDERABAD. 7 ITAT, DR, HYDERABAD. 8 GUARD FILE. I TA NO. 1131/H/17 AND OTHERS : - 6 - :
