Panchavati Sarvajanik Vachanalaya, Nashik V. Commissioner of Income-tax, (Exemptions), Pune

ITA 715/PUN/2018

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 2295 (ITAT-PUNE)
• Duration Of Justice: 6 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-11-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 18-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S B PRASAD
• Section: 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, PUNE . , , , BEFORE SHRI D. KARUNAKARA RAO, AM AND SHRI VIKAS AWASTHY, JM . / ITA NO . 715 /P U N/201 8 PANCHAVATI SARVAJANIK VACHANALAYA, MALEGAON STAND, PANCHAVATI, NASHIK 422003 PAN : AACTP8033G ....... / APPELLANT / V/S. COMMISSIONER OF INCOME TAX (EXEMPTIONS), PUNE / RESPONDENT ASSESSEE BY : SHRI PRAMOD SHINGTE REVENUE BY : SHRI S.B. PRASAD / DATE OF HEARING : 1 4 - 11 - 201 8 / DATE OF PRONOUNCEMENT : 14 - 1 1 - 201 8 / ORDER PER VIKAS AWASTHY, JM : TH IS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX ( EXEMPTIONS), PUNE DATED 12 - 02 - 2018 AGAINST REJECTION OF APPLICATION FOR GRANT OF REGISTRATION U/S. 12AA O F THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT ). 2. SHRI PRAMOD SHINGTE APPEARING ON BEHALF OF THE ASSESSEE SUBMITTED THAT THE ASSESSEE IS A TRUST REGISTERED UNDER BOMBAY TRUST ACT , 1950. THE 2 ITA NO . 715/PUN/2018 ASSESSEE TRUST WAS ESTABLISHED IN 1974. THE ASSESSEE IS RUNNING A PUBLIC LIBRARY HAVING MORE THAN 2000 REFERENCE BOOKS. THE ASSESSEE TRUST IS RECOGNIZED BY THE STATE GOVERNMENT AND HAS BEEN RECEIVING GRANTS FROM THE GOVERNMENT. THE ASSESSEE FILED APPLICATION FOR GRANT OF REGISTRATION U/S. 12AA ON 09 - 08 - 2017. THE APPLICATION OF THE ASSESSEE HAS BEEN REJECTED BY THE COMMISSIONER OF INCOME TAX (EXEMPTIONS) ON THE GROUND THAT ORIGI NAL REGISTRATION AND TRUST DEED WERE NOT PRODUCE. THE LD. AR POINTED THAT THE ASSESSEE RECEIVED COMMUNICATION FROM THE OFFICE OF COMMISSIONER OF INCOME TAX (EXEMPTIONS) DATED 10 - 11 - 2017 TO FURNISH CERTAIN DOCUMENTS. THE ASSESSEE ON 30 - 01 - 2018 FURNISHED T HE DOCUMENTS AS SOUGHT BY THE COMMISSIONER OF INCOME TAX (EXEMPTIONS). HOWEVER, WITHOUT CONSIDERING THOSE DOCUMENTS , THE COMMISSIONER OF INCOME TAX (EXEMPTIONS) HAS REJECTED THE APPLICATION OF ASSESSEE. THE LD. AR FURTHER POINTED THAT THE COMMISSIONER OF INCOME TAX (EXEMPTIONS) HAD DIRECTED THE ITO TO CONDUCT ENQUIRY TO VERIFY THE EXISTENCE AND GENUINENESS OF THE ACTIVITIES OF THE ASSESSEE. THE INSPECTOR CONDUCTED THE ENQUIRIES AND FOUND THE ACTIVITIES OF THE ASSESSEE TRUST TO BE GENUINE AND FURNISHED HI S REPORT ON 24 - 01 - 2018. THE ASSESSEE OBTAINED THE COPY OF SAID REPORT UNDER THE RIGHT TO INFORMATION ACT, 2005. THE COPY OF ENQUIRY REPORT IS AT PAGE 7 OF THE PAPER BOOK. THE COMMISSIONER OF INCOME TAX (EXEMPTIONS) HAS NOT EVEN CONSIDERED THE REPORT OF INSPECTOR BEFORE REJECTING THE APPLICATION OF ASSESSEE. 3. ON THE OTHER HAND SHRI S.B. PRASAD REPRESENTING THE DEPARTMENT VEHEMENTLY SUPPORTED THE IMPUGNED ORDER. 4. BOTH SIDES HEARD. IMPUGNED ORDER AND DOCUMENTS ON RECORD REFERRED TO BY THE LD . AR PERUSED. WE ARE OF CONSIDERED VIEW THAT THE APPLICATION OF ASSESSEE FOR GRANT OF REGISTRATION U/S. 12AA NEEDS 3 ITA NO . 715/PUN/2018 RECONSIDERATION BY THE COMMISSIONER OF INCOME TAX (EXEMPTIONS). ACCORDINGLY, WE RESTORE THE SAME BACK TO THE FILE OF COMMISSIONER OF INCOME TAX (EXEMPTIONS) WITH A DIRECTION TO RECONSIDER THE APPLICATION AND TO EXAMINE ALL THE DOCUMENTS AVAILABLE ON RECORD BEFORE PASSING THE FINAL ORDER. THE COMMISSIONER OF INCOME TAX (EXEMPTIONS) IS FURTHER DIRECTED TO ALLOW SUFFICIENT OPPORTUNITY OF HEARIN G TO THE ASSESSEE BEFORE PASSING THE ORDER, IN ACCORDANCE WITH LAW. 5. IN THE RESULT, THE IMPUGNED ORDER IS SET ASIDE AND THE APPEAL OF ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT AFTER HEARING OF THE APPEAL ON WED NESDAY, THE 14 TH DAY OF NOVEMBER, 2018 . SD/ - SD/ - ( . /D. KARUNAKARA RAO ) ( / VIKAS AWASTHY) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE; / DATED : 14 TH NOVEMBER, 2018 RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. THE COMMISSIONER OF INCOME TAX (EXEMPTIONS), PUNE 4 . , , , / DR, ITAT, A BENCH, PUNE. 5 . / GUARD FILE. / / // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE