Jat Sewa Singh, Delhi V. CIT(Exemption), New Delhi

ITA 7608/DEL/2018

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9277 (ITAT-DELHI)
• Duration Of Justice: 10 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-10-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: misc
• Appeal Filed On: 30-11-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUSHMA SINGH
• Keywords: Charitable institution; Set aside
• Section: 10AA; 80G; 12AA; 201

Judgement Text

PAGE | 1 INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C: NEW DELHI BEFORE SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER AND SHRI K.N.CHARY, JUDICIAL MEMBER ITA NO. 7607 & 7608 /DEL/2018 JAT SEWA SINGH, B - 21A, 2 ND FLOOR, KHASRA NO. 572, RAJDHANI PARK, 40FT, ROAD MUNDKA NANGLIO, NEW DELHI PAN: AACTJ6647E VS. CIT(EXEMPTION), NEW DELHI (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI VED JAIN, ADV REVENUE BY: MS. SUSHMA SINGH, CIT DR DATE OF HEARING 13/08 / 201 9 DATE OF PRONOUNCEMENT 0 4 / 10 / 2019 O R D E R PER PRASHANT MAHARISHI, A. M. ITA NO. 7607/DEL/2018 1 . THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE ORDER PASSED BY THE LD CIT( EXEMPTION ) , NEW DELHI DATED 27.08.2018 , WHEREIN, THE APPLICATION FILED BY THE ASSESSEE ON 20.02.2018 IN THE FORM 10AA FOR REGISTRATION U/S 12AA OF THE ACT IS REJECTED FOR THE REASON THAT SUCH FORM W.E.F. 19.02.2018 SHOULD HAVE BEEN FURNISHED ELECTRONICALLY UNDER DIGITAL SIGNATURE. AGAINST THIS THE ASSESS EE FILED THE ABOVE FORM MANUALLY. THUS, APPLICATION U/S 12AA WAS NOT CONSIDERED BY THE LD CIT(E) AS IT WAS NOT AS PER DUE PROCEDURE OF LAW. IN PARA NO . 4 THE LD CIT(E) ALSO GRANTED LIBERTY TO THE ASSESSEE TO REAPPLY REGISTRATION U/S 12AA ELECTRONICALLY IN THE MANNER PRESCRIBED IN APPLICABLE FORM 10A. THE ASSESSEE AGGRIEVED WITH THE ORDER OF THE LD CIT(E) HAS PREFERRED THIS APPEAL BEFORE US. THE GROUND S TAKEN ARE AGAINST REJECTION OF THE ABOVE APPLICATION . 2 . THE LD AR VEHEMENTLY SUBMITTED THAT THE REJECTION OF THE APPLICATION BY THE LD CIT(E) IS INCORRECT. HOWEVER, HE SUBMITTED THAT THE ASSESSEE HAS ALREADY FILED THE APPLICATION IN ELECTRONIC FORM. HE FURTHER REFERRED TO THE FACT THAT FACILITIES FOR E - FILING OF FORM NO. 10A WAS ONLY AVAILABLE ON 28.06.2018 , JAT SEWA SINGH VS. CIT(EXEMPTION), ITA NO. 7607 & 7608/DEL/2018 PAGE | 2 WHE REAS THE ASSESSEE FILED IT MANUALLY ON 20.02.2018. HE FURTHER STATED THAT AS PER NOTIFICATION DATED 19.02.2018 ON CITS WERE REQUESTED TO ACCEPT FORM NO. 10AA FILED MANUALLY PRIOR TO 01.04.2018. HE THEREFORE, SUBMITTED THAT SUCH APPLICATION SHOULD HAVE BEE N CONSIDERED BY THE LD CIT. 3 . THE LD DR SUBMITTED THAT WHEN THE FORM ARE REQUIRED TO BE FILED ONLINE, THE SAME SHOULD HAVE BEEN FILED BY THE ASSESSEE. 4 . WE HAVE CAREFULLY CONSIDERED THE RIVAL CONTENTIONS. THE ASSESSEE IS A CHARITABLE TRUST. IT FILED ITS APPL ICATION FOR REGISTRATION U/S 12AA ON 20.02.2018. HOWEVER, W.E.F 19/02/2018 RULES 17A OF THE INCOME TAX RULES WAS AMENDED AND FORM NO. 10AA IN REGISTRATION 12AA WAS TO BE FURNISHED ELECTRONICALLY UNDER DIGITAL SIGNATURE. THE LETTER DATED 02.07.2016 BY THE DIRECTOR OF INCOME TAX TO THE CHIEF COMMISSIONER OF INCOME TAX ( EXEMPTION) IN PARA NO. 1 STATES THAT FACILITIES PROVIDED FOR TRANSMISSION OF FORM NO. 10A W.E.F 28.06.2016. IN PARA NO. NO. 5 OF THE FORM FILED PRIOR TO 01.04.2018 WERE REQUIRED TO BE ENTERED IN ELECTRONICALLY FORMAT BY THE OFFICE OF CIT(E), THEY WERE REQU IRED TO BE ISSUED NECESSARY REGISTRATION ACCORDINGLY. HOWEVER, IN THE PRESENT CASE THE APPLICATION OF THE ASSESSEE WAS REJECTED. HOWEVER, THE LD CIT GAVE OPPORTUNITY TO FILE THE SAME ELECTRONICALLY. THE ASSESSEE HAS ALSO STATED THAT IT HAS FILED THE APPLIC ATION NOW ELECTRONICALLY HENCE, NOW WE DIRECT THE LD CIT(E) TO ACCEPT THE APPLICATION BY THE ASSESSEE W.E.F 20.02.2018 AND GRANT REGISTRATION TO THE TRUST , IF FOUND IN ACCORDANCE WITH LAW , W.E.F FROM THAT DATE. ACCORDINGLY, THE GROUND OF APPEAL RAISED BY T HE ASSESSEE ARE ALLOWED. 5 . IN THE RESULT ITA NO. 7607/DEL/2018 IS ALSO SET ASIDE TO THE FILE OF THE LD CIT(E). ACCORDINGLY, SAME IS ALLOWED FOR STATISTICAL PURPOSES. ITA NO. 7608/DEL/2018 6 . ITA NO. 7608/DEL/2018 IS FILED BY THE ASSESSEE WHEREIN, THE LD CIT(E ) IN PARA NO. 5 HELD THAT THE APPLICATION IN FORM NO. 10G FOR GRANT OF APPROVAL U/S 80G HAS ALSO BECOME INFRUCTUOUS IN ABSENCE OF REGISTRATION U/S 12AA OF THE ACT. BY THE ABOVE APPEAL WE HAVE ALREADY SET ASIDE THE ORDER OF THE LD CIT(E) BACK TO HIS FILE FO R DECIDING THE APPLICATION U/S 12AA OF THE ACT FOR THE REGISTRATION OF THE TRUST, AS RECOGNITION U/S 80G(5) OF THE ACT CAN ONLY BE CONSIDERED IN CASE OF TRUST REGISTERED U/S 12AA OF THE ACT, WE ALSO SET ASIDE JAT SEWA SINGH VS. CIT(EXEMPTION), ITA NO. 7607 & 7608/DEL/2018 PAGE | 3 THE APPEAL OF THE ASSESSEE BACK TO THE FILE OF LD CIT(E) TO CONSIDER THE APPLICATION U/S 80G(5) OF THE ASSESSEE AFTER DISPOSING OF APPLICATION U/S 12AA OF THE ACT IN CASE OF THE APPELLANT. 7 . IN THE RESULT ITA NO. 7608/DEL/2018 IS ALSO SET ASIDE TO THE FILE OF THE LD CIT(E). ACCORDINGLY, SAME IS ALLOWED FOR STATISTICAL PURPOSES. 8 . IN THE RESULT BOTH THE APPEALS FILED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 0 4 / 10 / 2019 . - SD/ - - SD/ - ( K.N.CHARY ) (PRASHANT MAHARISHI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 0 4 / 10 / 2019 A K KEOT COPY FORWARDED TO 1 . APPLICANT 2 . RESPONDENT 3 . CIT 4 . CIT (A) 5 . DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI JAT SEWA SINGH VS. CIT(EXEMPTION), ITA NO. 7607 & 7608/DEL/2018 PAGE | 4 DATE OF DICTATION DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/ PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/ PS DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER