M/s. Society of Apostles of Mary, Tuticorin V. CIT, Madurai

ITA 766/CHNY/2011

• Counselvise Citation: [2011] 119 COUNSELVISE.COM (IT) 6558 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-07-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 14-07-2011
• Assessment Year: misc
• Appeal Filed On: 28-04-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: N DEVANATHAN
• Keywords: Charitable institution
• Section: 80G; 12AA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, CHENNAI BEFORE SHRI N. S. SAINI, ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN, JUDICIAL MEMBER .. I.T.A. NOS. 765 & 766/MDS/2011 ASSESSMENT YEAR :- M/S. SOCIETY OF APOSTLES OF MARY, 9A/521, SAHAYAMATHA PATTANAM, 2 ND STREET, TUTICORIN-628 002. V. THE COMMISSIONER OF INCOME- TAX-I, MADURAI. (PAN: AAJTS6976J) (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI N. DEVANATHAN RESPONDENT BY : SHRI SHAJI P. JACOB O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER : ITA 765/MDS/2011 IS AN APPEAL FILED BY THE ASSESSE E AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME-TAX-I, MADURAI IN C. NO.464/109/CIT-I/2010-11 DATED 25-03-2011 REFUSING TO GRANT THE ASSESSEE REG ISTRATION U/S 12AA OF THE INCOME-TAX ACT, 1961. ITA NO. 766/MDS/2011 IS AN A PPEAL FILED BY THE ASSESSEE AGAINST THE ACTION OF THE LEARNED CIT-I, MADURAI IN C. NO. 464/109/CIT-I/2010-11 DATED 25-03-2011 REFUSING TO GRANT APPROVAL TO THE ASSESSEE U/S 80G OF THE ACT. ITA NOS. 765 & 766/MDS/2011 2 2. SHRI N. DEVANATHAN, ADVOCATE REPRESENTED ON BEHA LF OF THE ASSESSEE AND SHRI SHAJI P. JACOB, LEARNED SR. DR REPRESENTED ON BEHALF OF THE REVENUE. 3. AT THE TIME OF HEARING IT WAS SUBMITTED BY THE L EARNED AUTHORISED REPRESENTATIVE THAT THE LEARNED CIT HAS NOT CONSIDE RED THE APPLICATION FOR REGISTRATION IN THE PROPER PERSPECTIVE. IT WAS THE SUBMISSION THAT THE ASSESSEE TRUST WAS PURELY A CHARITABLE TRUST. IT WAS THE SU BMISSION THAT THE LEARNED CIT HIMSELF HAS RECOGNIZED THAT THE OBJECTS ARE APPAREN TLY CHARITABLE IN NATURE. IT WAS THE FURTHER SUBMISSION THAT EVEN THOUGH THE LEA RNED CIT HAS MENTIONED THAT THE GENUINENESS OF THE TRUST HAS NOT BEEN ESTABLISH ED AND THAT ITS CHARITABLE ACTIVITIES BEING CARRIED OUT IN TERMS OF THE TRUST DEED HAVE NOT BEEN ESTABLISHED BY DOCUMENTARY EVIDENCE. IT WAS THE SUBMISSION THA T THE ASSESSEE MAY BE GRANTED ONE MORE OPPORTUNITY TO EXPLAIN ITS STAND B EFORE THE LEARNED CIT. 4. IN REPLY, THE LEARNED DR VEHEMENTLY SUPPORTED TH E ORDER OF THE LEARNED CIT. 5. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. IT IS NOTICED THAT THE LEARNED CIT HAS MENTIONED IN HIS ORDER THAT AS PER THE APPLICAT ION FILED BY THE ASSESSEE THE OBJECTS ARE APPARENTLY CHARITABLE IN NATURE AND THE ACTIVITIES CARRIED OUT BY THE APPLICANT TRUST ARE BOTH RELIGIOUS AND CHARITABLE I N NATURE. HOWEVER, IN PARA 4 OF HIS ORDER IT IS STATED THAT THE GENUINENESS OF THE TRUST AND ITS CHARITABLE ACTIVITIES BEING CARRIED OUT IN TERMS OF THE TRUST DEED HAVE N OT BEEN ESTABLISHED WITH DOCUMENTARY EVIDENCE. THUS THERE IS A CONTRADICTIO N IN THE ORDER OF THE LEARNED ITA NOS. 765 & 766/MDS/2011 3 CIT. IN THE CIRCUMSTANCES, THE ISSUES IN THESE APP EALS ARE RESTORED TO THE FILE OF THE LEARNED CIT TO RE-ADJUDICATE THE ISSUE AFTER GR ANTING THE ASSESSEE ADEQUATE OPPORTUNITY TO SUBSTANTIATE ITS CASE. IN THE CIRCU MSTANCES, THE APPEALS OF THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 6. THE ORDER WAS PRONOUNCED IN THE COURT ON 14/07/2 011. SD/- SD /- (N. S. SAINI) (GEORGE MATHAN) ACCOUNTANT MEMBER JUDICIAL MEMBER CHENNAI, DATED THE 14 TH JULY, 2011. H. COPY TO: ASSESSEE/AO/CIT (A)/CIT/D.R./GUARD FILE