RUSTOM JEHANGIR COOPER CHARITY TRUST,,PUNE vs. COMMISSIONER OF INCOME-TAX, (EXEMPTION),, PUNE

This appeal filed by the assessee is against the order of the CIT (Exemption), Pune dated 11.07.2019 u/s 12AA(1)(b)(ii) of the Act.

Before us, at the outset, ld. Counsel for the assessee mentioned that the Trust was incorporated on 21st November, 2006 and applied for registration u/s 12AA of the Act only on 16.01.2019. Mentioning that the CIT (Exemption) rejected the said application of the assessee for want of details, ld. Counsel submitted that the matter may be remanded to his file once again for fresh adjudication.

We have heard both sides and perused the material available on record. The CIT (Exemption) rejected the registration merely on the ground of non furnishing of documents/information by the assessee to study the bonafides of the objects of the assessee’s Trust. We further find that the assessee responded to the queries raised by the CIT (Exemption) and uploaded the requisite documents/information on the ITBA portal of the Department. Despite reply from the assessee side, CIT (Exemption) could not make use of the same for one reason or others. In the order of CIT dated 11.07.2019, it was categorically held that the assessee failed to upload the requisite information in ITBA portal. The relevant contents in para 5 of CIT (Exemption)’s order are extracted hereunder :- “5. In view of the above, the applicant trust has not furnished requisite details on the ITBA portal or complied the notices issued dated 06/03/2019 to process the application for granting registration u/s 12AA of the Act. Therefore, I am not satisfied about the charitable nature of objects as well as the genuineness of activities of the trust / institution and therefore, the request for grant of registration u/s 12AA of the Income-tax Act, 1961 cannot be accepted.”

On hearing both the sides and perusing the order of the CIT (Exemption), we find that it is a case of compliance by the assessee by uploading successfully of the documents required for adjudication of the application for registration. Further, we find that it is failure on the part of CIT (Exemption) to make use of the said information. Considering the same, we are of opinion that there is violence of the principles of natural justice in matters of non furnishing of information which is already furnished/uploaded by the assessee. 5. Therefore, we are of the view that the matter should be remanded to the file of CIT (Exemption) once again for fresh adjudication. Accordingly,