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Income Tax Appellate Tribunal, RANCHI ‘E-COURT’AT KOLKATA
Before: Shri S.S, Godara, JM & Dr. A.L. Saini, AM
आदेश /O R D E R Per Bench(Oral): These two assessees’ separate appeals arise against the Commissioner of Income-tax (Exemption), Patna’s separate orders dated 19.02.2018 & 15.03.2018 involving proceedings u/s 12AA(1)(b)(ii) of the Income Tax Act, 1961 (in short ‘the Act’); respectively. Heard both the parties. Case files perused.
ITA No.264/Ran/2018 M/s Binod Vichar Manch & ITA No.223/Ran/2018 Ulgulan Foundation Page 2 2. It transpires at the outset that the CIT(Exemption)’s identical orders under challenge dated 19.02.2018 & 15.03.2018; respectively, have declined section 12AA registration to both these assessees on the sole ground that he could not verify the commencement of charitable activities at their behest. We make it clear that there is not even a single adverse remarks coming from the CIT(Exemption)’s side regarding the assessees’ object clauses in the respective trust deeds. We deem it appropriate to reproduce the CIT(Exemption)’s former order as follows:
“The applicant is a Trust. An application in Form No. 10A of Income-tax Rules, 1962 was filed on 04.09.2017 for registration u/s 12AA of the Income Tax Act, 1961. The applicant was requested to appear on 09.11.2017 either in person or through an authorized representative with relevant documents for verification of the genuineness of the charitable activities of the Trust but none appeared or filed any written submission. Given one more opportunity to appear on 05.12.2017. On 05.12.2017 Sri Rahul Choudhary CA and A.R. of the Trust attended the hearing and the case was discussed. From the audit report as on 31.03.2017, it transpires that no any activity has been carried out by the applicant trust.”
2.1 The factual position is no different in the CIT(Exemption)’s latter order as well.
Coming to sole substantive issue of non-commencement of charitable activities as a precondition for granting section 12AA registration, we find that the same is no more res integra in view of hon’ble apex court’s recent decision in Ananda Social and Educational Trust Vs CIT & Anr. (Supreme Court); Civil Appeal No(S).5437- 5438/2012 dated 19/02/2020 deciding the issue in assessee’s favour. We therefore reverse the CIT(Exemption)’s both orders under challenge declining registration to these two assessees.
These two assessees’ appeals are allowed.
Order pronounced in open court on 14/07/2020.
Sd/- Sd/- (A. L. Saini) (S.S. Godara) Accountant Member Judicial Member Kolkata; Date: 14/07/2020 RS
ITA No.264/Ran/2018 M/s Binod Vichar Manch & ITA No.223/Ran/2018 Ulgulan Foundation Page 3
आदेश क� ��त�ल�प अ�े�षत / Copy of Order Forwarded to:- 1. अपीलाथ�/Appellant-(i) M/s Binod Vichar Manch (ii) Ulgulan Foundation 2. ��यथ�/Respondent- CIT(Exemption), Patna 3. संबं�धत आयकर आयु�त / Concerned CIT 4. आयकर आयु�त- अपील / CIT (A) 5. �वभागीय ��त�न�ध, आयकर अपील�य अ�धकरण / DR, ITAT, 6. गाड� फाइल / Guard file.
//True Copy//
By order/आदेश से, Sr. Private Secretary