SHAMA ARTS ORGANIZATION,PUNE V. CIT(EXEMPTION), PUNE, PUNE

ITA 355/PUN/2025

AI Insights

The case involves Shama Arts Organization appealing against the decision of the CIT (Exemption), Pune, which rejected their applications for regular registration under section 12A and for approval under section 80G(5) of the Income Tax Act, 1961. The tribunal noted that the assessee was not given a fair opportunity to clarify their position regarding the water supply, which was not in line with the objectives of the trust. The tribunal, considering the principles of natural justice, decided to remit the matter back to the CIT (Exemption) for a fresh decision, allowing the assessee another opportunity to comply and clarify.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 298634 (ITAT-PUNE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Laws Referred To: Income Tax Act 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AJAY KUMAR
• Keywords: Reasonable cause; Non compliance
• Section: 12A; 80G

Judgement Text

"आयकर अपीलीय अधिकरण \"बी\" न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL \"B\" BENCH, PUNE BEFORE Dr. MANISH BORAD, ACCOUNTANT MEMBER AND SHRI VINAY BHAMORE, JUDICIAL MEMBER आयकर अपील सं. / ITA No. 354 & 355/PUN/2025 धििाारण वषा / Assessment Year: NA Shama Arts Organization, Sushila Ganesh Sankul, Deshmukh Wadi, Lane next to Sudamache Pohe, Near Pune Vidyarthi Gruha, Sadashiv Peth Pune -411030 Maharashtra PAN-ABHCS2079L Vs CIT (Exemption), Pune Appellant Respondent Assessee by : None Revenue by : Shri Ajay Kumar Keshari - CIT Date of hearing : 09.04.2025 Date of pronouncement : 25.04.2025 आदेश/ORDER PER DR. MANISH BORAD, ACCOUNTANT MEMBER : These appeals at the instance of the assessee are directed against the order of Ld. CIT(E) dated 16.12.2024 framed u/s 12A & 80G of the Income Tax Act 1961. 2. None appeared on behalf of the assessee. Valid notice of hearing was issued. With the assistance of Ld. DR and after carefully examining the impugned order we notice that the greviance of the assessee is that Ld. CIT(E) erred in rejecting the application for regular registration u/s 12A(1)(ac)(iii) of the Act and also rejected the application for approval u/s 80G(5) of the 2 ITA No. 354 & 355/PUN/2025 Act for non compliance and therefore one more opportunity is requested for going before Ld. CIT(E). Since Ld. DR raised no objection if both the issues of regular registration u/s 12A and 80G(5) are remitted back to the file of Ld. CIT(E). 3. We have heard Ld. DR and perused the record placed before us. The assessee filed an application for regular registration u/s 12A and for approval u/s 80G(5) on 29.06.2024. Partial compliance was made, Ld. CIT(E) wanted the clarification about water supply which was not found in line with the objectives of the trust. However fair opportunity was not granted to the assessee. We therefore in the interest of justice and being fair to both the parties and under the given facts and circumstances of the case remit both the issues of application for regular registration u/s 12A r.w.s.12AA as well as approval u/s 80G(5) of the Act back to the file of Ld. CIT(E) for afresh adjudication for which a reasonable opportunity shall be granted before passing a speaking order. Assessee should also remain vigilant and avoid unnecessary adjournment unless otherwise required for reasonable cause. Effective grounds of appeal raised in ITA No. 354-355/PUN/2025 are allowed for statistical purposes. 4. In the result, both the appeals of the assessee are allowed for statistical purposes. Order pronounced on this 25th day of April, 2025. Sd/- Sd/- (VINAY BHAMORE) (MANISH BORAD) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे/ Pune; दििांक / Dated: 25th April 2025. Neeta 3 ITA No. 354 & 355/PUN/2025 आिेश की प्रधिधलधप अग्रेधषि / Copy of the Order forwarded to: 1. अपीलार्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The Pr. CIT concerned. 4. धवभागीय प्रधिधिधि, आयकर अपीलीय अधिकरण, \"बी\" बेंच, पुणे / DR, ITAT, \"B\" Bench, Pune. 5. गार्ा फाइल / Guard File. आिेशािुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अधिकरण, पुणे / ITAT, Pune. "