JANAPRIYA TRUST,TIRUNELVELI V. ITO EXEMPTION WARD, TIRUNELVELI

ITA 2864/CHNY/2024

AI Insights

The case involves Janapriya Trust, which filed an appeal against the order of the CIT(A) for the Assessment Year 2018-19. The primary issue arose from the Income Tax Officer's (ITO) treatment of donations received by the trust as anonymous donations under section 115BBC of the Income Tax Act, due to the trust's failure to provide details of the donors. The CIT(A) dismissed the trust's appeal ex-parte, leading to the current appeal before the Income Tax Appellate Tribunal. The Tribunal noted the absence of representation by the assessee and decided to set aside the CIT(A)'s order, restoring the matter for a fresh hearing to ensure fair opportunity for the assessee to present its case.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 472442 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-02-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2018-2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: R.BHOOPATHI
• Keywords: Set aside; Principle of natural justice
• Section: 143(3)

Judgement Text

" आयकर अपीलीय अिधकरण ‘ए’’ Ɋायपीठ चेɄई मŐ। IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH, CHENNAI माननीय ŵी मनोज क ुमार अŤवाल ,लेखा सद˟ एवं माननीय ŵी मनु क ुमार िगįर, Ɋाियक सद˟ क े समƗ। BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER AND HON’BLE SHRI MANU KUMAR GIRI, JUDICIAL MEMBER आयकरअपील सं./ ITA No.2864/Chny/2024 (िनधाŊरणवषŊ / Assessment Year: 2018-2019) Janapriya Trust, 108/4, Ukkirankottai, North Christian Street, Alangulam Taluk, Tirunelveli 627 020. [PAN: AAATJ 4644D] Vs. The Income Tax Officer, Exemption Ward, Tirunelveli. (अपीलाथȸ/Appellant) (Ĥ×यथȸ/Respondent) अपीलाथȸ कȧ ओर से/ Appellant by : None Ĥ×यथȸ कȧ ओर से /Respondent by : Shri R. Bhoopathi, Addl. CIT. सुनवाई कȧ तारȣख/Date of Hearing : 03.02.2025 घोषणा कȧ तारȣख /Date of Pronouncement : 05.02.2025 आदेश / O R D E R PER MANU KUMAR GIRI (Judicial Member) This appeal filed by the assessee is directed against the order of the Ld. Commissioner of Income Tax (Appeals)(NFAC) Delhi [CIT(A)] dated 20.09.2024 for Assessment Year 2018-19. 2. Brief facts of the case are that the assessee furnished its return of income for the A.Y. 2018-19 electronically vide on 17.07.2018 disclosing a total income at Rs. 2 ITA No.2864/Chny/2024 NIL. The case was selected for scrutiny through CASS with reason description \"Approval obtained u/s.80G and Large increase in total voluntary contributions as per Part B-TI of ITR.\" In spite of the show-cause notice, the assessee did not provide the details of persons who had given donations to the organization. Therefore, the donation shown in the return of income at Rs.61,91,669/- was treated by the AO as anonymous donation as the income of the assessee as per provisions of section 115BBC of the Act which was calculated at Rs. 58,82,086/- (i.e. Rs. 61,91,669/- (-) Rs. 3,09,583/-). The total income of the assessee was assessed accordingly. Aggrieved, the assessee is in appeal. Assessee further challenged the order of assessment u/s u/s 143(3) r.w.s. 143(3A) & 143(3B) of the Act before the ld.CIT(A) who proceeded ex-parte and dismissed the appeal on merits. Aggrieved, assessee is in appeal before us. 3. Before us also, none appeared on behalf of the assessee. The ld.DR stated that the assessee is habitual defaulter in appearing before the appellate authority hence no lenient view is to be taken in this case and prayed for dismissal of appeal. 4. Though we concur with the submissions of Ld. Sr. DR however, keeping in mind the principle of natural justice and grant another opportunity of hearing to the assessee. We also find that assessee has not represented before the ld.CIT(A). Accordingly, in the interest of substantial justice, the impugned order is set aside and the appeal is restored back to the file of Ld. CIT(A) for fresh hearing of appeal after affording proper opportunity of hearing to the assessee. The assessee is 3 ITA No.2864/Chny/2024 directed to prosecute and substantiate its case with all evidence diligently, if any, forthwith without any fail, failing which Ld.CIT(A) shall be at liberty to proceed with the disposal of appeal as per law. 5. In the result, appeal filed by the assessee is allowed for statistical purpose. Order pronounced in the open court on 5th day of February, 2025 at Chennai. Sd/- Sd/- (मनोज क ुमार अŤवाल) (मनु क ुमार िगįर) (MANOJ KUMAR AGGARWAL) लेखा सद˟ / ACCOUNTANT MEMBER (MANU KUMAR GIRI) Ɋाियक सद˟ / JUDICIAL MEMBER चेɄई Chennai: िदनांक Dated :05-02-2025 KV आदेश कȧ ĤǓतͧलͪप अĒेͪषत /Copy to : 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT, Chennai/Coimbatore/Madurai/Salem. 4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF "