SUNNI DAWAT E ISLAMI EDUCATIONAL AND MULTIPURPOSE SOCIETY,CHIRAG GALLI MOHALLA, V. ASSESSING OFFICER, EXEMPTION WARD 1 (2), NASHIK

SA 9/PUN/2026

AI Insights

The case involves Sunni Dawat E Islami Educational and Multipurpose Society, a trust, which faced an outstanding tax demand of Rs.77,92,335 for the assessment year 2016-17. The trust had not filed its income return for the specified year, leading to a reassessment under section 147 of the IT Act, 1961, where the income was assessed at Rs.67,06,972 from undisclosed sources. The trust's appeal was dismissed by the CIT(A)/NFAC due to non-prosecution. The trust sought a stay on the tax demand citing poor financial conditions, which was contested by the Department requiring at least a 20% payment of the demand.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 847687 (ITAT-PUNE)
• Duration Of Justice: 11 day(s)
• Appeal Type: Stay Application
• Pronouncement Date: 27-03-2026
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: Pune
• Assessment Year: 2016-2017
• Appeal Filed On: 17-03-2026
• Other Referred Cases: Estate of Late Tukojirao Holkar vs CWT
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SAILEE DHOLE
• Assessee Lawyers: SAYYAD ASIF QUADRI
• Keywords: Income from undisclosed sources; Application of stay
• Section: 147; 148; 68; 2

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “B”, PUNE BEFORE SHRI R. K. PANDA, VICE PRESIDENT AND Ms. ASTHA CHANDRA, JUDICIAL MEMBER SA No.9/PUN/2026 Arising out of ITA No.1171/PUN/2026 Assessment year : 2016-17 Sunni Dawat E Islami Educational and Multipurpose Society Chirag Galli Mohalla, Nandurbar – 425412, Maharashtra Vs. ITO, Exemption, Ward-1(2), Nashik PAN: AAITS2880A (Applicant) (Respondent) Assessee by : Shri Sayyad Asif Quadri Department by : Smt. Sailee Dhole, JCIT Date of hearing : 27-03-2026 Date of pronouncement : 27-03-2026 O R D E R PER R. K. PANDA, VP : The assessee through this Stay Application requests the Tribunal to stay on the realization of the outstanding demand of Rs.77,92,335/-. 2. The Ld. Counsel for the assessee referring to the Stay Application filed by the assessee submitted that the assessee is a trust and had not filed its return of income for the assessment year 2016-17. The case of the assessee was reopened as per the provisions of section 147 of the IT Act, 1961 and accordingly notice u/s 148 was issued on 10.03.2023 in response to which the assessee filed its return of income on 05.05.2023 declaring Nil income. The Assessing Officer completed the Printed from counselvise.com 2 SA No.9/PUN/2026 assessment determining the total income of the assessee at Rs.67,06,972/- by making addition u/s 68 as income from undisclosed sources. He submitted that due to non-appearance before the Ld. CIT(A) / NFAC, the Ld. CIT(A) / NFAC, following the decision of Hon’ble Madhya Pradesh High Court in the case of Estate of Late Tukojirao Holkar vs CWT reported in 223 ITR 480 (MP) and various other decisions, dismissed the appeal filed by the assessee on account of non-prosecution. He submitted that the financial condition of the assessee is not at all good to pay such huge demand being enforced by the department. He accordingly submitted that full stay on realization of the outstanding demand should be granted to the assessee. He also requested for an out of turn hearing of the appeal. 3. The Ld. DR on the other hand submitted that the assessee has not explained its financial position by submitting the bank statement. She submitted that the assessee should be directed to pay atleast 20% of the total outstanding demand immediately and the remaining amount in instalments. 4. We have heard the rival arguments made by both the sides and perused the record. Since the Ld. Counsel for the assessee has not furnished the financial details of the assessee along with bank statements, therefore, we are of the considered opinion that it is not a fit case for grant of absolute stay on the realization of the outstanding demand. Accordingly, the Stay Application filed by the assessee is rejected. However, the request of the Ld. Counsel for the assessee Printed from counselvise.com 3 SA No.9/PUN/2026 for an out of turn hearing is accepted and the appeal is fixed for hearing on 07.04.2026 which was announced in the open Court. It was also announced that no separate notice of hearing shall be sent and this order itself shall be deemed to be the service of notice to both the sides to which both the parties agreed. 5. In the result, the Stay Application filed by the assessee is dismissed in the above terms. Order pronounced in the open Court on 27th March, 2026. Sd/- Sd/- (ASTHA CHANDRA) (R. K. PANDA) JUDICIAL MEMBER VICE PRESIDENT पुणे Pune; दिन ांक Dated : 27th March, 2026 GCVSR आदेश की प्रतितिति अग्रेतिि/Copy of the Order is forwarded to: 1. अपील र्थी / The Appellant; 2. प्रत्यर्थी / The Respondent 3. 4. The concerned Pr.CIT, Pune DR, ITAT, ‘B’ Bench, Pune 5. ग र्ड फ ईल / Guard file. आदेशानुसार/ BY ORDER, // True Copy // Assistant Registrar आयकर अपीलीय अदिकरण ,पुणे / ITAT, Pune Printed from counselvise.com Gajjala Chinna Venkata Subba Reddy Digitally signed by Gajjala Chinna Venkata Subba Reddy Date: 2026.03.27 18:24:20 +05'30' 4 SA No.9/PUN/2026 S.No. Details Date Initials Designation 1 Draft dictated on 27.03.2026 Sr. PS/PS 2 Draft placed before author 27.03.2026 Sr. PS/PS 3 Draft proposed & placed before the Second Member JM/AM 4 Draft discussed/approved by Second Member AM/AM 5 Approved Draft comes to the Sr. PS/PS Sr. PS/PS 6 Kept for pronouncement on Sr. PS/PS 7 Date of uploading of Order Sr. PS/PS 8 File sent to Bench Clerk Sr. PS/PS 9 Date on which the file goes to the Office Superintendent 10 Date on which file goes to the A.R. 11 Date of Dispatch of order Printed from counselvise.com "