THE JUHU PARLE EDUCATION SOCIETYS UTPAL SHANGVI,MUMBAI V. INCOME TAX OFFICER, EXEM. WARD 2(4), MUMBAI, MUMBAI

ITA 3022/MUM/2025

AI Insights

The case involves The Juhu Parle Education Society's Utpal Shangvi, a registered charitable organization, which appealed against the order of the National Faceless Appeal Centre (NFAC), Delhi, pertaining to the Assessment Year 2016-17. The primary issue was the incorrect determination of total income in the computation sheet by the AO, despite the assessee declaring a Nil income in their return. The CIT(A) dismissed the appeal without proper consideration, leading to the matter being restored to the AO for correct computation of tax liability based on the Nil income declared.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 633421 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Assessment Year: 2016-2017
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KAVITA P. KAUSHIK; DR
• Assessee Lawyers: YOGESH THAR; VINAYAK BHAT; ARS; STATING
• Keywords: Opportunity of being heard
• Section: 12A; 10B

Judgement Text

" |आयकर अपीलीय अिधकरण ा यपीठ, मुंबई | IN THE INCOME TAX APPELLATE TRIBUNAL “F” BENCH, MUMBAI BEFORE SHRI SAKTIJIT DEY, HON’BLE VICE PRESIDENT & SHRI NARENDRA KUMAR BILLAIYA, HON’BLE ACCOUNTANT MEMBER I.T.A. No. 3022/Mum/2025 Assessment Year: 2016-17 The Juhu Parle Education Societys Utpal Shangvi East West Road No. 3 J.V.P.D. Scheme Mumbai - 400049 [PAN: AAATT0390A] Vs Income Tax Officer, Exem. Ward- 2(4), Mumbai अपीला थ\u0016/ (Appellant) \u0017\u0018 यथ\u0016/ (Respondent) Assessee by : Shri Yogesh Thar & Mr. Vinayak Bhat, A/Rs Revenue by : Ms. Kavita P. Kaushik, Sr. D/R सुनवाई की तारीख/Date of Hearing : 10/06/2025 घोषणा की तारीख /Date of Pronouncement: 13/06/2025 आदेश/O R D E R PER NARENDRA KUMAR BILLAIYA, AM: This appeal by the assessee is preferred against the order of the NFAC, Delhi [hereinafter “the ld. CIT(A)”] dated 03/03/2025 pertaining to AY 2016-17. 2. The solitary grievance of the assessee relates to the incorrect determination of the total income in the computation sheet. 3. Briefly stated the facts of the case are that the assessee filed its return of income on 16/10/2016 along with the income and expenditure account, balance sheet and audit report in Form 10B declaring total income at Nil. The assessee is a registered charitable organization with Charity Commissioner and ld. CIT(E), Mumbai, u/s 12A of the Act. The main object of the assessee trust is imparting education through educational institutions known as Utpal Shanghvi Global School and I.T.A. No. 3022/Mum/2025 2 Prabhavati Padamshi Soni International Junior College. After examining the return of income, the AO assessed the total income of the assessee at Nil. However, in the computation sheet, the AO erroneously determined the total income at Rs. 9,66,49,100/- and computed the tax liability accordingly. When this was challenged before the ld. CIT(A), the ld. CIT(A) simply rubbished the appeal of the assessee by stating that the assessee’s grounds of appeal do not arise out of the assessment order and tax computation does not require any separate adjudication. 4. We fail to understand this action of the ld. CIT(A) as the assessee can always challenge the tax liability before the appellate authority. Be that as it may, we restore this issue to the file of the AO. The AO is directed to recompute the tax liability on the assessed income at Nil, after affording a reasonable and adequate opportunity of being heard to the assessee. 5. In the result, appeal of the assessee is allowed with the above directions. Order pronounced in the Court on 13th June, 2025 at Mumbai. Sd/- Sd/- (SAKTIJIT DEY) (NARENDRA KUMAR BILLAIYA) VICE PRESIDENT ACCOUNTANT MEMBER Mumbai, Dated 13/06/2025 *SC SrPs *SC SrPs *SC SrPs *SC SrPs I.T.A. No. 3022/Mum/2025 3 आदेश की \u0014ितिलिप अ\u0019ेिषत/Copy of the Order forwarded to : 1. अपीलाथ\u001b / The Appellant 2. \u0014 थ\u001b / The Respondent 3. संबंिधत आयकर आयु! / Concerned Pr. CIT 4. आयकर आयु!)अपील (/ The CIT(A)- 5. िवभागीय \u0014ितिनिध ,आयकर अपीलीय अिधकरण, मुंबई /DR,ITAT, Mumbai, 6. गाड% फाई/ Guard file. आदेशानुसार/ BY ORDER TRUE COPY Assistant Registrar आयकर अपीलीय अिधकरण ITAT, Mumbai "