Evangelical Literature Service, CHENNAI V. DDIT, CHENNAI

ITA 780/CHNY/2016

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 9202 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-06-2016
• Appeal Filed By: Assessee
• Bench Allotted: A
• Assessment Year: 2010-2011
• Appeal Filed On: 29-03-2016
• Court: TRIBUNAL
• Department Lawyers: P RADHAKRISHNAJCIT
• Assessee Lawyers: S VENUGOPALANCA
• Keywords: Condonation of delay

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : CHENNAI , . !' BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER AND SHRI G.PAVAN KUMAR, JUDICIAL MEMBER ./ I.T.A.NO.780/MDS./2016 / ASSESSMENT YEAR : 2010-11 M/S.EVANGELICAL LITERATURE, SERVICE , 95-A,VEPERY HIGH ROAD, CHENNAI 600 007. VS. COMMISSIONER OF INCOME TAX (EXEMPTION) CHENNAI. [PAN AAATE 0484 E ] ( #$ / APPELLANT) ( %&#$ /RESPONDENT) / APPELLANT BY : MR.S.VENUGOPALAN,CA /RESPONDENT BY : MR.P.RADHAKRISHNA,JCIT, DR / DATE OF HEARING : 01 - 06 - 201 6 !' / DATE OF PRONOUNCEMENT : 06 - 06 - 2016 ' / O R D E R PER CHANDRA POOJARI, ACCOUNTANT MEMBER THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME-TAX (EXEMPTIONS),CHENNA I, DATED 01.03.2016. 2. THE GROUNDS RAISED BY THE ASSESSEE ARE AS FOLLO WS:- ITA NO. 780/MDS./16 :- 2 -: 1. COMMISSIONER OF INCOME TAX (EXEMPTIONS) HEARD IN REJECTING THE PETITION FOR CONDONATION OF DELAY IN FILING FORM NO.10 FOR A CCUMULATION OF FUNDS FOR FUTURE APPLICATIONS AND OF FACTS AND CIRCUMSTANCES OF THE CASE. 2. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTIO NS) FAILED TO APPRECIATE THAT THE FUNDS ARE ALREADY INVESTED IN F UTURE APPLICATIONS AND SURPLUS FUNDS ARE AVAILABLE FOR FUTURE APPLICATIONS . 3. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTIO NS) FAILED TO APPRECIATE THAT THE TRUST WAS FIRST ON THE HONEST B ELIEF THAT IT HAS ALREADY APPLIED FOR THE SPECIFIC PURPOSES AND IT WILL BE NO T MORE THAN 15% AS PER THE CALCULATIONS ADOPTED BY THE PUST AS IN THE PREVIOUS YEARS AND ON THE ACCOUNT OF THIS CALCULATION THERE WAS SOME DELAY IN FILING THE FORM. 4. THE LEARNED COMMISSIONER OF INCOME TAX (EXEMPTIO NS) FAILED TO APPRECIATE THAT THE TRUST WILL BE PUT TO LOT OF HAR DSHIPS IN THE REJECTION OF THIS PETITION OF CONDONATION. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESS EE FILED A REQUEST FOR CONDONATION OF DELAY IN FILING FORM NO.10 FOR ACCUM ULATION OF ` 14 LAKHS FOR ASSESSMENT YEAR 2010-11 VIDE APPLICATION DATED 25.0 3.2013 ON 26.03.2013. DURING THE SCRUTINY ASSESSMENT , THE ASSESSEE TRUST WAS INFORMED THAT ITS COMPUTATION OF TOTAL INCOME WAS INCORRECT AND AS PE R THE CORRECT COMPUTATION, THERE WOULD BE A SHORTFALL IN APPLICAT ION OF ` 13,55,000/-. IN RESPONSE, THE ASSESSEE TRUST DECIDED TO ACCUMULATE ` 14 LAKHS FOR WHICH FORM NO.10 WAS BEING FILED. IT IS REQUESTED BY LD. A.R THAT THE DELAY IN FILING THE FORM 10 MAY BE CONDONED AND THE ASSESSEE TRUST IS PERMITTED TO CARRY EXCESS ACCUMULATION FOR NEXT 5 YEARS U/S.11(2) FOR FUTURE UTILIZATION. ITA NO. 780/MDS./16 :- 3 -: ASSESSMENT U/S.143(3) FOR ASSESSMENT YEAR 2010-11 W AS COMPLETED ON 20.0-3.2013. 4. THE CIT(EXEMPTIONS) OBSERVED THAT IT IS UNDISP UTED FACT THAT THE ASSESSEE TRUST FILED FORM-10 ALONG WITH REQUEST FOR CONDONATION OF DELAY ON 26.03.2013 WHILE THE ASSESSMENT WAS ALREADY COMPLE TED BY 20.03.2013. HE FURTHER OBSERVED THAT THE APPLICATION DID NOT FILE FORM NO.10 BEFORE THE AO BEFORE COMPLETION OF ASSESSMENT. THE CIT (EXEMPTION S) FOLLOWING THE DECISION OF HONBLE SUPREME COURT IN THE CASE OF C IT VS. NAGPUR HOTEL OWNERS ASSOCIATION REPORTED IN [2001] 114 TAXMAN 2 559 (SC), THE PETITION REQUESTING CONDONATION OF DELAY IN FILING FORM NO.1 0 FOR ACCUMULATION OF ` 14,00,000/- FOR ASSESSMENT YEAR 2010-11 REJECTED TH E CONDONATION OF DELAY. 5. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE MATERIAL ON RECORD. IN THIS CASE, THE ORDER PASSED BY THE CIT(EXEMPTION S) U/S.119(2)(B) OF THE ACT. SEC.253 PROVIDES THE ORDERS WHICH ARE APPELABL E BEFORE THIS TRIBUNAL AND CAREFUL PERUSAL OF THIS SECTION, WE FIND THAT T HERE IS NO PROVISION UNDER THIS SECTION TO FILE THE APPEAL AGAINST THE CIT(EXE MPTIONS) PASSED U/S.119(2)(B) OF THE ACT. BEING SO, THIS APPEAL IS DISMISSED AS NOT MAINTAINABLE. HOWEVER, THE ASSESSEE IS AT LIBERTY T O EXPLORE THE REMEDY AVAILABLE UNDER THE PROVISIONS OF THE ACT. ITA NO. 780/MDS./16 :- 4 -: 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS DIS MISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 6 TH JUNE, 2016, AT CHENNAI. SD/ - SD/ - ( . ) ( G.PAVAN KUMAR ) / JUDICIAL MEMBER ( ) (CHANDRA POOJARI) / ACCOUNTANT MEMBER #$ / CHENNAI %& / DATED: 6 TH JUNE, 2016 K S SUNDARAM &'(()*( +* / COPY TO: ( 1 . / APPELLANT 4. ( , / CIT 2. / RESPONDENT 5. *-. (/ / DR 3. ( ,(0 1 / CIT(A) 6. .2(3 / GF