SHREE BABA BALAKPURI JI CHARITABLE TRUST,HARYANA V. CIT , ROHTAK

ITA 1309/DEL/2024

AI Insights

The case involves the Shree Baba Balakpuri Ji Charitable Trust appealing against the decision of the Commissioner of Income Tax (Exemption), Chandigarh, which had rejected their application for approval under Section 80G of the Income Tax Act. The primary contention of the Trust was that the CIT(E) had dismissed their application ex-parte and without merit consideration, violating the principles of natural justice. The CIT(E), on the other hand, argued that the Trust had failed to provide necessary evidences and appearances despite multiple opportunities. The Tribunal found merit in the Trust's argument regarding insufficient opportunity to present their case and thus restored the matter to the CIT(E) for a fresh decision.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 295062 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-04-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: G
• Assessment Year: 2023-2024
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: JAYA CHAUDHARY
• Assessee Lawyers: NAVEEN KUMAR GOYAL
• Keywords: Opportunity of being heard; Principle of natural justice; Charitable institution
• Section: 80G

Judgement Text

"1 ITA No. 1309/Del/2024 Shree Baba Balakpuri Ji Charitable Trust IN THE INCOME TAX APPELLATE TRIBUNAL DELHI (DELHI BENCH ‘G’ NEW DELHI) BEFORE SHRI YOGESH KUMAR U.S., JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA No. 1309/Del/2024 (A.Y. 2023-24) Shree Baba Balakpuri Ji Cjharitable Trust Circular Road, Puri Dham, Rohtak, Haryana,124001 PAN: ABATS5639Q Vs. CIT Rohtak Exemption Ward, Rohtak, Haryana Appellant Respondent Assessee by CA Naveen Kumar Goyal Revenue by Ms. Jaya Chaudhary, CIT(DR) Date of Hearing 17/04/2025 Date of Pronouncement 23/04/2025 ORDER PER YOGESH KUMAR, U.S. JM: The above captioned appeal is filed by the Assessee against the order of the Commissioner of Income Tax (Exemption) (‘CIT(E)’ for short)-Chandigarh, dated 05/03/2024, wherein the Ld. CIT(E) rejected application filed by the Appellant for approval u/s 80G of the Income Tax Act, (‘Act’ for short). 2. Brief facts of the case are that, the Appellant filed application for approval under Clause (iii) of first proviso to Section 80G(5) of the Act before the Ld. CIT(Exemption), Chandigarh. The application filed by 2 ITA No. 1309/Del/2024 Shree Baba Balakpuri Ji Charitable Trust the Appellant came to be rejected by the CIT(Exemption) vide order dated 05/03/2024, which has been called in question in the present Appeal. 3. The Ld. Counsel for the Appellant submitted that, the Ld. CIT(E) has passed the order impugned in violation of principals of natural justice wherein the Ld. CIT(E) dismissed the application ex-parte without even deciding the application on the merit. Thus, sought for allowing the appeal. 4. Per contra, the Ld. Department's Representative submitted that even after providing ample opportunities, the appellant has not submitted the factual evidences and in the absence of requisite submissions and appearance of the Assessee at the schedule herein, the Ld. CIT(E) had no option but to dismiss the application. Thus, submitted that the Ld. CIT(E) rightly rejected application filed by the Appellant. Therefore, sought for dismissal of the Appeal. 5. We have heard both the parties and perused the material available on record. It is seen from the order of the Ld. CIT(E) the application has been rejected on the ground that the Appellant has not substantiated its claim by providing documentary evidence. The Ld. CIT(E) observed that in the absence of any submission from the Appellant it is not possible to ascertain the objects and activities 3 ITA No. 1309/Del/2024 Shree Baba Balakpuri Ji Charitable Trust carried out by the Appellant. It is the case of the Assessee that though the authority below has not provided sufficient opportunity to put forth the factual evidences to enable the Ld. CIT(E) to grant the approval. In view of the above facts and circumstances, we restore the matter to the file of the Ld. CIT(E) with a direction to the Appellant to produce all the documents to substantiate the claim of the Appellant in support of grant of approval and the Ld. CIT(E) is directed to decide the application afreshafter considering all the documents produced by the Appellant and pass the order in accordance with law after providing opportunity of being heard to the Appellant. 6. In the result, the appeal filed by the Appellant is partly allowed for statistical purpose. Order pronounced in the open court on 23rd April , 2025 Sd/- Sd/- Sd/- (MANISH AGARWAL) (YOGESH KUMAR U.S.) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 23 .04.2025 R.N, Sr.P.S* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT 4 ITA No. 1309/Del/2024 Shree Baba Balakpuri Ji Charitable Trust ASSISTANT REGISTRAR ITAT, NEW DELHI "