PVAI VALUATION PROFESSIONAL ORGANISATION,MUMBAI V. ITO (EXEMPTION) MUMBAI, MUMBAI

ITA 1120/MUM/2025

AI Insights

The case involves PVAI Valuation Professional Organisation appealing against the orders of the CIT(E) which rejected their application for final registration for exemption under sections 12A and ETG of the Income Tax Act. The appeals were initially delayed due to the closure of the office of the Authorized Representative, which was later condoned by the ITAT. The main contention was the CIT(E)'s failure to provide an opportunity to rectify defects in the application before rejection. The ITAT, considering the submissions and the larger interest of justice, decided to remand the matter back to the CIT(E) for a thorough re-examination.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 38843 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2024-2025
• Laws Referred To: Section 12A of the Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R.A. DHYANI
• Assessee Lawyers: SANJIV G. BRAHME; JAYANT BHATT
• Keywords: Condonation of delay; Opportunity of being heard; Reasonable cause
• Section: 12A

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, MUMBAI BEFORE SMT. BEENA PILLAI (JUDICIAL MEMBER) AND SHRI OMKARESHWAR CHIDARA (ACCOUNTANT MEMBER) I.T.A. No.1118 & 1120/Mum/2025 Assessment Year: 2024-25 PVAI Valuation Professional Organisation 07, 1ST floor, Aditya Building, Opp. Flyover Apartment, N.S. Phadke Marg, Andheri (E), Mumbai 400069 PAN: AAJCP8040K Vs ITO (Exemption), Mumbai Room NO. 601, 6th Floor, Cumballa Hill, MTNL TE Building, Pedder Road, Dr. Gopalrao Deshmukh Marg, Cumballa Hill, Mumbai 400026 (Appellant) (Respondent) Appellant by Shri. Sanjiv G. Brahme & Jayant Bhatt Respondent by Mr. R.A. Dhyani, CIT D.R. Date of Hearing 27.03.2025 Date of Pronouncement 28.03.2025 ORDER Per: Smt. Beena Pillai, J.M.: The present appeals filed by the assessee arises out of the orders passed by Ld. CIT(E) rejecting the application in form 10 AB seeking final registration for Exemption u/s. 12A and ETG of the Act. 2. At the outset the Ld. AR submitted that, there is a delay of three days in filing the present appeal before this Tribunal. The Ld. AR submitted that, the office of the Authorised Representative was closed due to which the appeal could not be filed within the period 2 I.T.A. No.1118 & 1120/Mum/2025 Assessment Year: 2024-25 PVAI Valuation Professional Organisation of limitation. The Ld. AR thus, prayed for the delay to be condoned as it was unintentional and cannot to attributed to the assessee. The application seeking condonation of delay dated 27/03/2025, is placed on record. 2.1. The Ld. DR though, did not support the argument of the assessee could not controvert the fact that the delay is absolutely unintentional. We have perused the submissions of both sides in the light of the record placed before us. 3. It is noted that, the assessee has made out a reasonable cause for the delay in filing appeal before this Tribunal and is not attributable to assessee. Accordingly, we condone the delay and the application dated 27/03/2025 stands to be allowed. 4. On merit of the case the Ld. AR submitted that, the Ld. CIT(E) failed to grant opportunity to rectify the defect in the applications and rejected the application without granting an opportunity of being heard. The Ld. AR thus, prayed for an opportunity by requesting to remand issued back to the Ld. CIT(E). The Ld. DR did not object for the matter to be remanded the larger interest of justice. 5. We accordingly, remitted this issue back to the Ld. CIT(E) with a direction to pass detailed on merit, after considering the submissions of assessee. Needless to say that proper opportunity being heard must be granted to assessee. 6. Accordingly, grounds raised by the assessee stands allowed. In the result appeal filed by the assesse stands allowed. 3 I.T.A. No.1118 & 1120/Mum/2025 Assessment Year: 2024-25 PVAI Valuation Professional Organisation Order pronounced in the open court on 28/03/2025 Sd/- Sd/- (OMKARESHWAR CHIDARA) (BEENA PILLAI) Accountant Member Judicial Member Mumbai: Dated: 28/03/2025 Divya R. Nandgaonkar, Stenographer Copy of the order forwarded to: (1) The Appellant (2) The Respondent (3) The CIT (4) The CIT (Appeals) (5) The DR, I.T.A.T. True Copy By order (Asstt. Registrar) ITAT, Mumbai "