SHRI BRAHMAJI S A S K S,GHAZIPUR vs. CIT (E), LUCKNOW

The main argument of the ld. A.R. of the assessee before us was that the CIT (E) has not provided proper opportunity of being heard to the assessee and passed an ex-parte order; that the assessee had already submitted the relevant documents against the notice issued by the ld. CIT (E) on the email id of the Department, but without considering those documents and submissions, the ld. CIT (E) passed the order rejecting the application of the assessee for grant of approval under section 80G of the Act; that the assessee is a society already registered under section 12AA of the Act; and that the assessee-society is running an educational institution and charitable institute and therefore, eligible for grant of approval under section 80G of the Act. The ld. Counsel for the assessee prayed that the ld. CIT (Exemptions) may be directed to grant approval to the assessee society under section 80G(5) of the Act.

The ld. D.R., on the other hand, has placed strong reliance on the order of the ld. CIT (Exemptions), Lucknow. 5. Heard. We find that the ld. CIT (Exemptions) had rejected the application of the assessee for grant of approval under section 80G(5) of the Act, observing that the applicant has not provided any material to fulfill the requirements as enumerated in the provisions of Rule 11AA of the Income Tax Rules, thus, there is no material available on record so as to form any satisfaction regarding the genuineness of the activities carried out. The CIT (E) has passed the order, rejecting the application of the assessee for approval under section 80G of the Act, in the absence of the assessee, despite the Covid pandemic situation. In this view of the matter, we feel that one more opportunity should be given to the assessee to explain its case before the ld. CIT (Exemptions). We are of the view, from the facts of the case, that the assessee has not been given proper and sufficient opportunity before disposing of the application for approval, by the ld. CIT (Exemptions). We, therefore, in the interest of justice, set aside the order of the ld. CIT (Exemptions) and restore the matter to his file with the direction to consider and decide afresh, the application of the assessee for approval under section 80G of the Act, preferably within two months from the date of receipt of this order, on affording reasonable opportunity of hearing to the assessee. The assessee is also directed to be present on the date of hearing and provide the material / clarification as asked for by the ld. CIT (Exemptions). 6. In the result, the appeal of the assessee is treated as allowed for statistical purposes. Order pronounced in the open Court on 11/08/2021.