M/s Navchetna Society, V. Commissioner of Income Tax (Exemption), Lucknow

ITA 73/LKW/2016

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 4404 (ITAT-LUCKNOW)
• Duration Of Justice: 3 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-06-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 19-04-2016
• Assessment Year: misc
• Appeal Filed On: 25-02-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Rejection of books of accounts
• Section: 2

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH B, LUCKNOW BEFORE SHRI P.K. BANSAL, ACCOUNTANT MEMBER AND SHRI MAHAVIR PRASAD, JUDICIAL MEMBER ITA NO.73/LKW/2016 CIT(EXEMPTIONS), 5, ASHOK MARG, LUCKNOW 226001 VS M/S NAVCHETNA SOCIETY, SHANTI NAGAR, VILLAGE RUINA PITHORAGARH(UTTRAKHAND) PAN AABAN 6627 Q (RESPONDENT) (APPELLANT) SHRI H.P. SINGH, ADVOCATE APPELLANT BY SHRI SANJAY KUMAR, CIT DR RESPONDENT BY 19 /0 4 /2016 DATE OF HEARING 09/06/2016 DATE OF PRONOUNCEMENT O R D E R PER MAHAVIR PRASAD, JM. THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST TH E ORDER OF THE CIT(EXEMPTIONS), DATED 05.01.2016 LUCKNOW DENYING T HE REGISTRATION U/S 80G(5)(VI) OF THE INCOME TAX ACT, 1961 (HEREINAFTER CALLED AS ACT) HAVING OBSERVED THAT DESPITE OPPOR TUNITIES ASSESSEE SOCIETY HAS NOT PRODUCED THE BOOKS OF ACCOUNTS BILL S AND VOUCHERS FOR THE VERIFICATION. 2. AGGRIEVED, THE ASSESSEE HAS PREFERRED THIS APPE AL BEFORE THE TRIBUNAL WITH THE SUBMISSION THAT THE ASSESSEE HAS PLACED THE COMPLETE BOOKS OF ACCOUNTS, BILLS AND VOUCHERS FOR VERIFICATION BUT THE CIT(EXEMPTIONS) INSTEAD OF EXAMINING THE BOOKS OF ACCOUNTS REJECTED THE APPLICATION FOR GRANT OF APPROVAL U/S 80G(5)(VI) OF THE ACT . IN SUPPORT OF HIS CONTENTION, THE ASSESSEE HAS ALSO INVITED OUR ATTENTION TO A LETTER WRITTEN TO CIT(EXEMPTIONS) FO R GRANT OF APPROVAL 2 U/S 80G(5)(VI) OF THE ACT STATING THEREIN THAT HE H AS PRODUCED THE BYE LAWS OF SOCIETY, PHOTOCOPY OF CERTIFICATE OF RE GISTRATION OF SOCIETY, AUDITED BALANCE SHEET & INCOME AND EXPENDI TURE ACCOUNTS OF SOCIETY AND POWER OF ATTORNEY BEFORE HIM. THE CI T(EXEMPTIONS) RATHER REJECTED THE REQUEST OF GRANT OF APPROVAL U/ S 80G(5)(VI) OF THE ACT. 3. LD. COUNSEL FOR THE ASSESSEE FURTHER CONTENDED T HAT IN THE LIGHT OF THESE FACTS, THE APPROVAL MAY KINDLY BE GR ANTED. 4. LD. DR ON THE OTHER HAND, SUBMITTED THAT THE CIT(EXEMPTIONS) HAS SPECIFICALLY RECORDED IN HIS OR DER THAT NECESSARY DOCUMENTS WERE NOT PRODUCED FOR THE VERIF ICATION. LD. DR FURTHER CONTENDED THAT CIT(EXEMPTIONS) HAS EVERY RI GHT TO EXAMINE THE BOOKS OF ACCOUNTS BEFORE GRANTING OF APPROVAL U /S 80G(5)(VI) OF THE ACT. HOWEVER, LD. DR SUPPORT THE ORDER OF THE C IT(EXEMPTIONS). 5. HAVING CAREFULLY EXAMINED THE ORDER OF CIT(EXEMP TIONS) AND IN THE LIGHT OF RIVAL SUBMISSION, WE FIND THAT THE CIT(EXEMPTIONS) HAS RECORDED SPECIFICALLY IN HIS ORDER THAT NECESSARY D OCUMENTS WERE NOT PRODUCED FOR VERIFICATION DESPITE OPPORTUNITIES GRA NTED TO THE ASSESSEE. IN THE LIGHT OF THE ABOVE FACTS, WE ARE OF THE VIEW THAT THE NECESSARY DOCUMENTS ETC. WERE NOT PRODUCED BEFO RE THE CIT(EXEMPTIONS). THE CIT(EXEMPTIONS) HAS EVERY RIGH T TO EXAMINE ALL THE NECESSARY DOCUMENTS ETC. BEFORE GRANT OF AP PROVAL U/S 80G(5)(VI) OF THE ACT. IN ORDER TO RESOLVE THE CONT ROVERSY THE ISSUE IS REQUIRED FOR FRESH ADJUDICATION AND WE ACCORDINGLY SET ASIDE THE ORDER OF THE CIT(EXEMPTIONS) AND RESTORE THE MATTER TO HIS FILE WITH A DIRECTION TO READJUDICATE THE ISSUE AFRESH OF GRA NT OF APPROVAL U/S 80G(5)(VI) OF THE ACT AFTER AFFORDING OPPORTUNITY O F BEING HEARD TO THE ASSESSEE. WE ALSO DIRECT THE ASSESSEE TO PRODUC E ALL THE 3 NECESSARY DOCUMENT BEFORE THE CIT(EXEMPTIONS) ON TH E DATE FIXED FOR HEARING. 6. IN THE RESULT, APPEAL OF THE ASSESSEE STANDS ALL OWED FOR STATISTICAL PURPOSES. (ORDER WAS PRONOUNCED IN THE OPEN COURT ON THE DAT E MENTIONED ON THE CAPTION PAGE) SD/- SD/- (P.K. BANSAL) (MAHAVIR PRASAD) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 09/06/2016 AKS COPY OF THE ORDER FORWARDED TO : 1.THE APPELLANT 2.THE RESPONDENT. 3.CONCERNED CIT 4.THE CIT(A) 5.D.R., I.T.A.T., LUCKNOW ASSTT. REGISTRAR