RAM SABHA SAMITI, Jaipur V. CIT, Alwar

ITA 763/JPR/2014

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 5207 (ITAT-JAIPUR)
• Duration Of Justice: 1 year(s) 8 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-08-2016
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 14-11-2014
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: PRATIBHA KAUSHIK CIT DR DHK
• Keywords: Opportunity of being heard
• Section: 12AA

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES, JAIPUR JH HKKXPUN] YS[KK LNL; ,OA JH YFYR DQEKJ] U;KF;D LN L; DS LE{K BEFORE:SHRI BHAGCHAND, AM & SHRI LALIET KUMAR, J M VK;DJ VIHY LA-@ ITA NO. 763/JP/2014 SECTION 12AA OF THE I.T. ACT, 1961 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : - SHRI RAM SABHA SAMITI SHRI RAM BHAWAN BUCHAHEDA MOHALLA, NEAR SARDAR SCHOOK, KOTPUTLI, DISTT. JAIPUR CUKE VS. THE CIT ALWAR LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AAGAS 8896 K VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI SATISH GUPTA, CA JKTLO DH VKSJ LS@ REVENUE BY : SMT. PRATIBHA KAUSHIK, CIT -DR LQUOKBZ DH RKJH[K@ DATE OF HEARING : 13/07/2016 ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 04 /08/2016 VKNS'K@ ORDER PER BHAGCHAND, AM THE ASSESSEE HAS FILED AN APPEAL AGAINST THE ORD ER OF THE LD. CIT, ALWAR DATED 23-00-2014 RAISING THEREIN FOLLOWING G ROUND OF APPEAL. ON THE FACTS AND CIRCUMSTANCES OF THE CSE, THE LD . CIT, ALWAR GROSSLY ERRED IN REJECTING THE APPLICATI ON U/S 12AA OF THE I.T. ACT, 1961. 2.1 BRIEF FACTS OF THE CASE ARE THAT THE APPELLANT IS A SAMITI REGISTERED UNDER RAJASTHAN SOCIETY REGISTRATION ACT, 1958. THE APPELLANT SOCIETY ITA NO. 763/JP/2014 SHRI RAM SABHA SAMITI VS. CIT, ALWAR . 2 APPLIED FOR REGISTRATION U/S 12AA OF THE ACT BEFORE THE LD. CIT, ALWAR ON 3-03-2014. THE LD. CIT CONSIDERING THE APPLICATION OF THE APPELLANT AND RELEVANT MATERIAL AVAILABLE ON RECORD REJECTED THE REGISTRATION U/S 12AA OF THE ACT OF THE ASSESSEE TRUST WITH FOLLOWING OBSER VATION. (I) SINCE THE SOCIETY DID NOT FILE THE ORDER FROM T HE REGISTRAR SOCIETIES WITH REGARD TO CHANGE OF THE OB JECTS, HENCE, OBJECTS MENTIONED IN THE REGISTRATION DATED 20-10- 2011 ARE ONLY VALID OBJECTS. (II) SAMITI HAS SHOWN THE INCOME FROM OPERATIONS OF DHARAMSHALA BUT NO EVIDENCE WAS PRODUCED THAT THE S AMITI HAS OWN FUND (III) GENUINENESS OF THE ACTIVITIES OF THE TRUST AR E NOT PROVED. (IV) SOME OF THE OBJECTS OF THE SAMITI DO NOT APPEA R GENUINE I.E. (A) TO EXPAND SOCIAL RELIGION ENABLING NEXT GENERATION TO KNOW ABOUT THE CULTURE OF HINDU RELIG ION. (B) TO ORGAZNISE SATSANGS, KATHA ETC. TO SPREAD KNOWLEDGE ABOUT DEEDS OF SHRI RAM PRABHU. (C) TO ESTABLISH LIBRARY AND PURCHASING BOOKS OF SOCIAL RELIGION (D) TO ESTABLISH LIBRARY AND PURCHASING BOOKS OF SOCIAL RELIGION. (E) TO CONSTRUCT, MAINTAIN AND RENOVATE THE TEMPLES AND TO MAKE ARRANGEMENT FOR WOSHIP ITA NO. 763/JP/2014 SHRI RAM SABHA SAMITI VS. CIT, ALWAR . 3 TO THIS EFFECT, THE LD. AR OF THE ASSESSEE THROUGH HIS WRITTEN SUBMISSION SUBMITTED AS UNDER:- (I) SAMITI IS CONTINUOUSLY DOING CHARITABLE ACTIVI TIES. (II) THE MAIN ACTIVITY OF RUNNING OF DHARAMSHALA IS CONTINUOUS SINCE SO MANY YEARS AND IS PROVED BY INCOME AND EXP ENDITURE ACCOUNT ITSELF. (III) THE SAMITI HAS ITS OWN FUND OF RS. 8,15,291.5 2 AS ON 31-03- 2013. THE COPY OF BALANCE SHEET WAS SUBMITTED BEFOR E THE LD. CIT. IT IS NOT NECESSARY TO OWN THE PROPERTY FOR DOING T HE SERVICE. (IV) THE SAMITI IS OPERATING A COMPUTER EDUCATION CLASS. (V) THE SAMITI IS RUNNING A POTABLE WATER TANK FOR THE GENERAL PUBLIC AND OTHER ARRANGEMENTS FOR ANIMALS. (VI) THE SAMITI IS REGISTERED WITH THE REGISTRAR OF SOCIETIES, RAJASTHAN, JAIPUR VIDE THEIR REGISTRATION NO. 636/J PT/11-12 DATED 20-10-2011. THE SOCIETY HAS APPLIED FOR THE AMENDME NT IN SOME OF THE OBJECTS BUT THE SAID AMENDMENT WAS PENDING. THE LD. AR OF THE ASSESSEE ALSO SUBMITTED THAT OBJE CTS OF THE SAMITI ARE FOR THE BENEFIT OF GENERAL PUBLIC AND THE SAMITI IS ACTIVELY INVOLVED IN THE CHARITABLE ACTIVITIES SINCE LONG. THE LD. AR OF THE ASSESSEE RELIED ON FOLLOWING CASE LAWS WITH THE PRAYER FOR REGISTRATIO N OF THE TRUST U/S 12AA OF THE ACT:- (I) SRI MARAMMA TEMPLE SEVA TRUST VS. DIT (ITA NO. 818/BAL/2015) ITA NO. 763/JP/2014 SHRI RAM SABHA SAMITI VS. CIT, ALWAR . 4 (II) CALICUM ISLAMIC CULTURAL SOCIETY VS. ACIT, 88 SOT 148 (2009), COCHIN (III) CIT VS. BARAKATE SAFIYAH SOCIETY 213 ITR 492 (1955)(GUJ ) (IV) DIT (E) VS. SEERI SAMAJ TEMBA RAM TRUST, 362 I TR 199 (MAD.) (V) CIT VS. DAWOODI BOHRA JAMAT, 364 ITR 31 (SC) (VI) SRI SRI SRI DATTALREYA SEVA SANSTHAN VS. DIT ( E) (ITA NO. 551/HYD/2014 2.2 DURING THE COURSE OF HEARING, THE LD. DR RELIED ON THE ORDER OF THE LD. CIT . 2.3 WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. IT IS NOTED THAT THE ASSESSEE SOCIETY WAS REGISTERED TO PROMOTE THE FEELING OF HINDUTAVA. BEFORE US, THE LD . AR OF THE ASSESSEE SUBMITTED THAT THE ASSESSEE SOCIETY HAS AP PLIED FOR THE AMENDMENT IN THE AIMS AND OBJECTS BEFORE THE REGIST RAR SOCIETIES, JAIPUR. HOWEVER, NO SUCH AMENDED AIMS AND OBJECTS FILED BY THE ASSESSEE TRUST BEFORE THE REGISTRAR SOCIETIES, JAIPUR HAS BEEN FIL ED BEFORE US. THE LD. AR OF THE ASSESSEE SOCIETY PLEADED THAT THE ASSESSEE S OCIETY HAS SUBMITTED THE AMENDED AIMS AND OBJECTS BEFORE THE REGISTRAR SOCIE TIES, JAIPUR AND THE CERTIFIED COPY FROM THE REGISTRAR SOCIETY, JAIPUR AS TO AMENDED AIMS AND ITA NO. 763/JP/2014 SHRI RAM SABHA SAMITI VS. CIT, ALWAR . 5 OBJECTS SHALL BE SUBMITTED BEFORE THE LD. CIT FOR R EGISTRATION U/S 12AA OF THE ACT AND HENCE THE MATTER MAY KINDLY BE RESTORED BACK TO THE FILE OF THE LD. CIT FOR RE-ADJUDICATION OF THE APPEAL AS TO REG ISTRATION OF THE TRUST. IN VIEW OF THE PRAYER, CASE LAWS RELIED ON BY THE LD. AR OF THE ASSESSEE AND ALSO IN THE INTEREST OF JUSTICE AND EQUITY, WE REST ORE BACK THE ISSUE TO FILE OF THE LD. CIT TO DECIDE THE ISSUE IN QUESTION AFRE SH BY PROVIDING REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESS EE TRUST. THUS THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL P URPOSES. 3.0 IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWE D FOR STATISTICAL PURPOSES. SD/- SD/- YFYR DQEKJ HKKXPUN (LALIET KUMAR) (BHAGCHAND ) U;KF;D LNL;@ JUDICIAL MEMBER YS[KK LNL;@ ACCOUNTANT MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 04 /08/ 2016 *MISHRA VKNS'K DH IZFRFYFI VXZSF'KR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- SHRI RAM SABHA SAMITI, KOTPUTLI 2. IZR;FKHZ@ THE RESPONDENT- THE CIT, ALWAR 3. VK;DJ VK;QDR@ CIT, 4. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR 5. XKMZ QKBZY@ GUARD FILE (ITA NO. 763/JP/2014) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASSISTANT. REGISTRAR