SWAMI VIVEKANANDA KARMA TIRTHA,KOLKATA vs. ITO, WARD-44(1), KOLKATA

The sole issue involved in this appeal is whether the assessee is entitled to exemption u/s 11 r.w.s 12A of the Act in respect of assessment year, the assessment proceedings relating to which was pending before the Assessing Officer on the date of registration of the assessee u/s 12A of the Act and the objects and activities of such trust or institution remained the same for such preceding assessment year. In this case, the registration was granted to the assessee on 22.01.2020 for assessment year 2020-21. However, on the date of grant of Assessment Year: 2019-20 Swami Vivekananda Karma Tirtha registration, the assessment proceedings relating to assessment year 2019-20 were pending before the Assessing Officer and it is not the case of the Revenue that the objects and activities of the assessee were different or to say there is no rebuttal to the plea of the assessee that the objects and activities of the assessee were the same for the preceding year i.e. 2019-20. The issue is squarely covered by Second Proviso after sub-section 2 of section 12A of the Act, which, for the sake of ready reference, is reproduced as under: “Provided further that where registration has been granted to the trust or institution under section 12AA or section 12AB], then, the provisions of sections 11 and 12 shall apply in respect of any income derived from property held under trust of any assessment year preceding the aforesaid assessment year, for which assessment proceedings are pending before the Assessing Officer as on the date of such registration and the objects and activities of such trust or institution remain the same for such preceding assessment year.”

In view of the above, the assessee is entitled to exemption u/s 12A of the Act for the assessment year under consideration. It is ordered accordingly. The impugned order of the CIT(A) is set aside and the Assessing Officer is directed to grant the admissible exemption to the assessee u/s 11 of the Act.

In the result, the appeal of the assessee stands allowed.

Kolkata, the 14th March, 2023. Sd/- [संजय गग� /Sanjay Garg] �या�यक सद�य/Judicial Member Dated: 14.03.2023. RS