SAI SHIKSHAN PRASARAK MANDAL ,NANDED V. ITO WARD-1, NANDED

ITA 2635/PUN/2024

AI Insights

The case involves Sai Shikshan Prasarak Mandal, an educational institution, which appealed against the denial of exemption under section 10(23C)(iiiad) of the Income Tax Act, 1961 for the assessment year 2019-20. The initial denial was part of the return processed under section 143(1)(a) of the Act. The assessee's appeal to the ld.CIT(A) was dismissed due to non-compliance, as the assessee was not given a reasonable time to respond. The Tribunal, after considering the circumstances and the Supreme Court's judgment in the case of Collector, Land Acquisition vs. Mst. Katiji & Ors., found reasonable cause for the delay in filing the appeal and condoned the delay. The Tribunal then set aside the decision of the ld.CIT(A) and remanded the matter back for a fresh decision, emphasizing the need for a fair hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 313033 (ITAT-PUNE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2019-2020
• Other Referred Cases: Collector, Land Acquisition vs. Mst. Katiji & Ors. (1987) 2 SCC 107
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ARVIND DESAI
• Assessee Lawyers: BASHIRUDDIN SHAIKH
• Keywords: Set aside; Reasonable cause; Benefit of exemption

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCHES “B”, PUNE BEFORE DR.MANISH BORAD, ACCOUNTANT MEMBER AND MS. ASTHA CHANDRA, JUDICIAL MEMBER आयकर अपील सं. / ITA No.2635/PUN/2024 Assessment Year : 2019-20 Sai Shikshan Prasarak Mandal, Mantri Nagar, Taroda KD, Bhavsar Chow, Nanded- 431605 Maharashtra PAN : AAITS1688J Vs. Income Tax Officer, Ward-1, Nanded Appellant Respondent आदेश / ORDER PER DR. MANISH BORAD, ACCOUNTANT MEMBER : The captioned appeal at the instance of assessee pertaining to assessment year 2019-20 is directed against the order dated 11.09.2024 passed by ld. Addl.JCIT(A), Thiruvanantpuram u/s.250 of the Income Tax Act, 1961 ( in short ‘the Act’) arising out of the Intimation order dated 05.02.2021 passed u/s.143(1) of the Act. 2. Registry has informed that there is a delay of 33 days in filing the appeal before this Tribunal. Application for condonation along with affidavit and Medical certificate has been filed giving reasons for delay. 3. After hearing both the sides and considering the reasons giving rise to the delay and also placing reliance on the judgment of Hon’ble Supreme Court in the case of Collector, Land Appellant by : Shri Bashiruddin Shaikh (virtual) Respondent by : Shri Arvind Desai Date of hearing : 11.02.2025 Date of pronouncement : 02.05.2025 ITA No.2635/PUN/2024 Sai Shikshan Prasarak Mandal 2 Acquisition vs. Mst. Katiji & Ors. (1987) 2 SCC 107) we find that there was ‘reasonable cause’ which prevented the assessee in filing the appeal within the stipulated time. We therefore condone the delay of 33 days and proceed for adjudication of appeal. 4. The issue raised by the assessee in the grounds of appeal is mainly regarding the denial of exemption u/s.10(23C)(iiiad) of the Act. Along with this ground it is stated that ld.CIT(A) has not provided fair opportunity and has dismissed the appeal without passing a speaking order 5. We have heard the rival contentions and perused the record placed before us. We notice that the assessee filed the return of income for A.Y. 2019-20 claiming deduction u/s.10(23C)(iiiad) at Rs.65,30,914/- thereby declaring Nil income. But in the return processed u/s.143(1)(a) of the Act dated 05.02.2021 benefit of exemption u/s.10(23C)(iiiad) was denied against which the assessee preferred appeal before ld.CIT(A) who has dismissed the assessee’s appeal for non-compliance. We notice that ld.CIT(A) gave very short time to the assessee to furnish the details and prima-facie it shows that fair opportunity of hearing was not given to the assessee. We therefore considering the prayer of the assessee and also in the larger interest of justice deem it proper to restore the issue raised on merits to the file of ld.CIT(A) for denovo adjudication. Assessee is directed to provide latest email id and contact detail to the department for receiving the notices from ITBA portal. Assessee is further directed to remain vigilant and not to take adjournment unless otherwise required for reasonable cause, failing which the ld.CIT(A) shall be free to proceed in accordance with law. Findings of ld.CIT(A) is set aside ITA No.2635/PUN/2024 Sai Shikshan Prasarak Mandal 3 and effective grounds of appeal raised by the assessee are allowed for statistical purposes. 6. In the result, appeal of the assessee is allowed for statistical purposes. Order pronounced on this 02nd day of May, 2025. Sd/- Sd/- (ASTHA CHANDRA) (MANISH BORAD) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; \u0001दनांक / Dated : 02nd May, 2025. Satish आदेश क\u0002 \u0003ितिलिप अ ेिषत / Copy of the Order forwarded to : 1. अपीलाथ / The Appellant. 2. \u000eयथ / The Respondent. 3. The Pr. CIT concerned. 4. िवभागीय ितिनिध, आयकर अपीलीय अिधकरण, “B” ब\u0014च, पुणे / DR, ITAT, “B” Bench, Pune. 5. गाड\u0004 फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune. "