GAURI RAJ TRUST,BUDAUN vs. CIT (EXAMPTION), LUCKNOW

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ITA 8219/DEL/2019Status: DisposedITAT Delhi14 July 20223 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal held that the assessee was not given an adequate opportunity to be heard and that the email might not have been served. Therefore, the matter was remanded back to the CIT (Exemption) for fresh consideration.

What were the facts?

The assessee filed an application for registration under Section 12A(a). The CIT (Exemption) rejected the application due to non-compliance with certain queries sent via email, which the assessee claimed were not received.

What were the issues?

Whether the assessee was provided with a proper opportunity to be heard and respond to the queries raised by the CIT (Exemption) before rejection of the registration application.

Which sections of the Income-tax Act were involved?

Section 12A(a)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH “B” NEW DELHI

Before: SHRI SHAMIM YAHYA & SHRI YOGESH KUMAR US

Hearing: 14.07.2022

आदेश /O R D E R PER SHAMIM YAHYA, A.M.

This is an appeal by the assessee against the order of the Ld. CIT (Exemption) dated 26.09.2019.

2.

In the said order the Ld. CIT(E) has noted that the said firm has filed an application for registration u/s 12A(a) of the Income Tax Act, 1961 on 29.03.2019. The Ld. CIT(E) noted that an opportunity of being heard and filing written submissions was sent to the applicant on address

1.

I.T.A.No.8219/Del/2019 provided by him in Form 10A via speed post calling specific queries on 12.09.2019. The Ld. CIT(E) noted that on 12.09.2019 the Assessee – CA filed written submissions and he was heard the Ld. CIT(Exemption) noted that assessee was further required to clarify vide e-mail dated 18.09.2019 : a) The deficiency pointed out vide CBSE letter No. CBSE/AFF/2131545/EX-03104-1819/2019/1467010dated 25.03.2019 that, “the school is required to furnish valid Health & Sanitary, Safe-Drinking water, building safety and fire safety certificates issued by the competent authority/concerned Govt. Departments.” If yes, please send a copy of relevant documentary evidence through e-mail by 24.09.2019. b) Compliance with respect to point no. 22(a) of CBSE letter No. CBSE/AFF/2131545(SS-00292-1516)/2014/801398 dated 31.12.2014 that, “The school is required to submit a documentary proof regarding implementation and regular deduction of EPF along with latest pay bill and Bank Challan. If yes, please send a copy of relevant documentary evidence through e-mail by 24.09.2019.”

3.

The Ld. CIT(E) thereafter noted that no response has been received and noting the non compliance as above, he rejected the application.

Against this order assessee has filed appeal before us.

4.

We have heard the Ld. DR.

5.

None appeared on behalf of the assessee despite notice.

5.1 Upon careful consideration, we note that assessee has duly complied with the first enquiry made by the Ld. CIT(E) through speed

I.T.A.No.8219/Del/2019 post. Thereafter, a further e-mail enquiry was done on 18.09.2019 giving a time limit of compliance up to only 24.09.2019 and on 26.09.2019 Ld. CIT(E) rejected the application due to the aforesaid non compliance.

6.

In our considered opinion, the interest of justice mandates that assessee should be given proper opportunity of being heard even under administrative laws. Hence, assessee’s grievance that the said e-mail was never served upon the assessee that documents already furnished by the assessee were not examined in proper perspective is cogent one.

Hence, in the interest of justice, we remand the issue in the file of Ld. CIT(Exemption). The Ld. CIT(Exemption) is directed to consider the issue afresh after giving proper inadequate opportunity to the assessee of being heard.

7.

In the result, this appeal by the assessee stands allowed for statistical purpose.

Order pronounced in the open court on 14/07/2022

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