CONSERVATION CONSORTIUM,AHMEDABAD vs. THE DIRECTOR OF INCOME TAX (EXEMPTION), AHMEDABAD

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ITA 2715/AHD/2014Status: DisposedITAT Ahmedabad22 March 20193 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal found that there was a genuine and sufficient reason for the non-compliance due to the Chartered Accountant's accident and hospitalization. Therefore, the matter was set aside to the DIT(E) for a fresh decision.

What were the facts?

The assessee filed an application for approval under Section 80G(5) of the Income Tax Act. The DIT(E) rejected the application for non-compliance with certain requirements. The assessee contended that their Chartered Accountant was incapacitated due to a severe accident, preventing timely submission of documents.

What were the issues?

Whether the rejection of the Section 80G(5) approval application was justified despite the assessee providing a reasonable cause for non-compliance due to the incapacitation of their representative.

Which sections of the Income-tax Act were involved?

Section 80G(5)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “C” BENCH, AHMEDABAD

आयकर अपील�य अ�धकरण, अहमदाबाद �यायपीठ ‘C’ अहमदाबाद । IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, AHMEDABAD BEFORE, SHRI PRAMOD KUMAR, VICE PRESIDENT AND SHRI MAHAVIR PRASAD, JUDICIAL MEMBER

आयकर अपील सं./I.T.A. No. 2715/Ahd/2014 (�नधा�रण वष� / Assessment Year : NA)

Conservation Consortium Director of Income Tax बनाम/ B-60, Harshnagar Society, (Exemptions) Vs. 2nd Floor, Vasant Nature D Cabin Sabarmati, Ahmedabad - 380019 View Building, Ashram Road, Ahmedabad - 380009 �थायी लेखा सं./जीआइआर सं./PAN/GIR No. : AABTC5399P .. (अपीलाथ� /Appellant) (��यथ� / Respondent)

अपीलाथ� ओर से/Appellant by : Shri Mehul K. Patel, A.R. ��यथ� क� ओर से / Respondent Shri L. P. Jain, Sr. D.R. by : सुनवाई क� तार�ख / Date of 03/01/2019 Hearing घोषणा क� तार�ख /Date of 22/03/2019 Pronouncement

ORDER PER MAHAVIR PRASAD, JM:

This appeal has been preferred by the assessee against the order of the learned Director of Income Tax (Exemptions) [ in short ‘DIT(E)’] for rejecting the application filed in Form 10G of the Act for approval of Section 80G(5) of the Act vide order dated 15.09.2014 and following grounds have been taken by the assessee:

ITA No. 2715/Ahd/2014 [Conservation Consortium vs. DIT(E)] - 2 -

“1. The Authorities below have erred on facts as well as in law in rejecting the application filed in Form 10G of the Act for approval u/s 80G (5) of the Act. 2. The learned DIT (Exemption) could not consider the facts of the case in its proper perspective as he was unaware of the fact that A.R. of the appellant met with a severe accident in July and \vas advised bed-rest for 4 months. On the date of filing this appeal he still is on bed rest. 3. Final opportunity was granted to the appellant and all the documents were ready but could not be submitted on scheduled date due to indisposed condition of the A.R. Therefore, non compliance was backed by reasonable cause. 4. Under the circumstances and on the facts of the case, it is requested that the matter may please be set aside and one more opportunity to the appellant may be given to submit the necessary details before authorities below to meet the principles of the natural justice.”

3.

Fact of the case are that the appellant trust requested for recognition for exemption u/s.80G(5) of the Act vide application in form no. 10G received by the office of the DIT(E) on 04.03.2014. Thereafter, a letter dated 28.04.2014 was issued to the appellant to furnish certain details on the activities actually carried out by the trust as well as to file certain documents. On account of illness of the Chartered Accountant of the assessee who could not appear on account of multiple injuries sustained by the AR due to road accident and in support of its contentions, learned AR has filed all the papers pertaining to Chartered Accountant of the assessee’s treatment and admission in the hospital.

4.

After hearing both the parties and going through the impugned order and considering the material before us, we are convinced that there was a genuine/sufficient reason for not appearing and not submitting the relevant documents before the DIT(E) for approval of registration under s.80G(5) of the Act because Chartered Accountant of the Trust remained in Hospital on account of accident. In view of the above, we set aside the matter back to

ITA No. 2715/Ahd/2014 [Conservation Consortium vs. DIT(E)] - 3 -

the file of the DIT(E) to decide the matter afresh after giving an opportunity of being heard to the assessee.

5.

In the result, appeal filed by the assessee is allowed for statistical purposes.

This Order pronounced in Open Court on 22/03/2019

Sd/- Sd/- (PRAMOD KUMAR) (MAHAVIR PRASAD) VICE PRESIDENT JUDICIAL MEMBER Ahmedabad: Dated 22/03/2019 True Copy S.K.SINHA आदेश क� ��त�ल�प अ�े�षत / Copy of Order Forwarded to:- 1. राज�व / Revenue 2. आवेदक / Assessee 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, अहमदाबाद / DR, ITAT, Ahmedabad 6. गाड� फाइल / Guard file. By order/आदेश से,

उप/सहायक पंजीकार आयकर अपील�य अ�धकरण, अहमदाबाद ।

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