M/S. PRATHIBHODAYA,KARWAR vs. THE CIT (EXEMPTIONS), BENGALURU

IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH : BANGALORE BEFORE SHRI GEORGE GEORGE K, JUDICIAL MEMBER AND MS. PADMAVATHY S, ACCOUNTANT MEMBER Assessment Year : NA M/s. Prathibhodaya, The Commissioner Opposite Police Station of Income-tax Honnavar, (Exemptions), Karwar – 581 334. Bengaluru. PAN: AADTP3292N Vs. APPELLANT RESPONDENT Assessee by : Ms. Jinita Chatterjee, Advocate Revenue by : Ms. Neera Malhotra, CIT-DR Date of Hearing : 18-01-2023 Date of Pronouncement : 18-01-2023 ORDER PER PADMAVATHY S, ACCOUNTANT MEMBER

This appeal is against the order of the commissioner of Income Tax (Exemptions) (CIT(E)) dated 29.09.2022 rejecting the application in Form 10AB for approval u/s.80G of the Income Tax Act (the Act)

i. On the facts and in the circumstances of the case, the learned CIT(E) erred in denying the approval under Sec.80G of the Act. ii. The Appellant having registered under Section 12AA of the Act and have also furnished all the particulars called for by the learned CIT(E), the required benefit under Section 80G of the Act as prayed for ought to have been given.

Page 2 iii. The learned CIT(E) erred in holding that there was no response to the hearing notices without verifying his own records since the Appellant had filed all the particulars as required by the CIT(E) vide its communication dated 27.07.2022 and 30.08.2022 iv. The learned CIT(E) ought to have appreciated that all the details called for have been furnished and having failed to take notice of the same, he erred in holding that the Appellant had not responded to the notices to justify the denial of approval under Section 80G of the Act. v. On the facts, the learned CIT(E) ought to have granted approval under Section 80G of the Act as prayed for by the Appellant. For these and such other grounds that may be urged at the time of hearing, the vi. Appellant prays that the appeal may be allowed.

Page 3 called for by the CIT(E) with regard to the application for approval u/s.80G such as the 12A registration certificate, Order granting provisional registration u/s.80G, Trust deed etc. It is also noticed that the assessee vide letter dated 30.08.2022 has submitted the inability to attend personal hearing and had requested the CIT(E) to consider the various documents submitted for the purpose of approval u/s.80G. However the CIT(E) without examining any of the documents and details submitted by the assessee, rejected the application stating that there was no response to from the assessee and that the genuineness of the activities of the assessee and the fulfilment of the conditions laid down was not demonstrated by the assessee. In our considered view the rejection of application by stating that the assessee has not responded when the assessee has in fact responded by submitting the details called for and without examining the details submitted is not correct. Therefore in the interest of justice we remit this issue back to the CIT(E) with a direction to examine the details submitted and provide approval in accordance with law. The assessee is directed to cooperate with proceedings and submit the required details as may be called for by the CIT(E). It is ordered accordingly.