PLAKSHA UNIVERSITY PUNJAB,CHANDIGARH V. COMMISSSIONER OF INCOME TAX EXEMPTIONS, CHANDIGARH

ITA 282/CHANDI/2024

AI Insights

The case involves Plaksha University Punjab appealing against the decision of the CIT (Exemptions), Chandigarh, which rejected their application for approval under Section 80G of the Income Tax Act. The CIT (Exemptions) had deemed the application non-maintainable as it was filed after the expiry of six months from the commencement of the university's activities. However, the assessee argued that a recent CBDT circular extended the deadline for such applications. The Tribunal agreed with the assessee's request to have the matter reconsidered on its merits, citing the extended deadline provided by the CBDT.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 28665 (ITAT-CHANDIGARH)
• Duration Of Justice: 6 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 25-09-2024
• Assessment Year: 2024-2025
• Appeal Filed On: 20-03-2024
• Laws Referred To: Income Tax Act, Rule 11AA of the I.T. Rules, 1962
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KUSUM BA NSAL
• Assessee Lawyers: AJAY JAIN
• Keywords: Set aside
• Section: 80G

Judgement Text

" आयकर अपील य अ\u000bधकरण,च\u0010डीगढ़ \u0014यायपीठ , च\u0010डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘B’ CHANDIGARH BEFORE: SHRI A.D.JAIN, VICE PRESIDENT AND SHRI KRINWANT SAHAY, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 282/CHD/2024 \u0001नधा\u0005रण वष\u0005 / Assessment Year : 2024-25 Plaksha University Punjab, Block-B, Alpha IT City, SAS Nagar, Mohali. Vs The CIT (E), Chandigarh. \fथायी लेखा सं./PAN /TAN No: AAAJP1855C अपीलाथ\u0017/Appellant \u0018\u0019यथ\u0017/Respondent \u0001नधा\u0005\u001aरती क\u001d ओर से/Assessee by : Shri Ajay Jain, CA राज\fव क\u001d ओर से/ Revenue by : Smt. Kusum Bansal, CIT, DR तार ख/Date of Hearing : 25.09.2024 उदघोषणा क\u001d तार ख/Date of Pronouncement : 08.10.2024 HYBRID HEARING आदेश/ORDER PER A.D.JAIN, VICE PRESIDENT This is an appeal filed by the assessee against the order of ld. CIT(Exemptions) Chandigarh dated 07.03.2024 pertaining to assessment year 2024-25. 2. During the course of hearing, the ld. AR submitted that the assessee had moved an application u/s 80G of the Income Tax Act before the ld.CIT (Exemptions) on 30.09.2023 in Form No. 10AB under Rule 11AA of the I.T. ITA 282/CHD/2024 A.Y. 2024-25 2 Rules, 1962. A notice was issued by the ld. CIT (Exemptions) on 14.11.2023 through ITBA to specify the date of commencement of activities by the Trust/Society. In response, the assessee furnished reply vide letter dated 07.12.2023 alongwith its annexures which were considered by the ld. CIT (Exemptions) and it was noticed that the activities commenced on 20.08.2021. Further, the assessee had been granted provisional approval in Form No.10AC on 31.03.2022 under Clause (iv) of first proviso to sub-section (5) of Section 80G for the period commencing from 31.03.2022 to A.Y. 2024-25. The ld. CIT (Exemptions) noted that the date of commencement of its activities is 20.08.2021 and the date of filing of application in Form No.10AB is 30.09.2023, which is after expiry of six months of commencement of its activity. Therefore, the ld. CIT (Exemptions) rejected the application of the assessee holding it as non-maintainable without going into the merits of the application. 3. Against the said decision of the ld. CIT (Exemptions), the assessee is in appeal before this Tribunal. ITA 282/CHD/2024 A.Y. 2024-25 3 4. The ld. AR has submitted that the CBDT vide Circular No. 7/2024 has extended the time limit for filing Form 10AB upto 30.06.2024 for approval under Section 80G, therefore, the ld. Counsel for the assessee has requested that the matter may be set aside to the file of the ld. CIT (Exemptions) to decide the same afresh. 5. The ld. DR has not raised any objection to the request of the assessee. 6. We have heard the parties and have perused the material on record. We find that the CBDT vide Circular No. 07/2024 dated 25/04/2024 has provided that where the Principal Commissioner or Commissioner has passed an order rejecting such application, on or before the issuance of the Circular, solely on account of the fact that the application was furnished after the due date or that the application has been furnished under the wrong section code, it may furnish afresh application in Form No. 10AB within the extended time provided in paragraph 3(H) i.e. 30/06/2024. In the present case, we are of the considered opinion that the application of the assessee deserves to be examined on merits and cannot be dismissed as barred by limitation. ITA 282/CHD/2024 A.Y. 2024-25 4 7. In light of the same, we remit the matter to the file of the ld CIT(E) to admit the application of the assessee as filed within the stipulated period and examine the same on merits as per law after providing reasonable opportunity to the assessee. Needless to say, the assessee shall cooperate in the fresh proceedings before the CIT(E). 8. In the result, the appeal of the assessee is treated as allowed for statistical purposes. Order pronounced on 08.10.2024. Sd/- Sd/- (KRINWANT SAHAY) (A.D.JAIN ) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” आदेश क\u0002 \u0003ितिलिप अ\tेिषत/ Copy of the order forwarded to : 1. अपीलाथ\u000f/ The Appellant 2. \u0003\u0010यथ\u000f/ The Respondent 3. आयकर आयु\u0014/ CIT 4. िवभागीय \u0003ितिनिध, आयकर अपीलीय आिधकरण, च\u0018डीगढ़/ DR, ITAT, CHANDIGARH 5. गाड\u001c फाईल/ Guard File आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar "