SREE ANJANEYA SEVA SAMIDHI vs. THE INCOME TAX OFFICER

J U D G M E N T The petitioner is a trust registered under Section 12AA of the Income Tax Act. By virtue of such registration, the income of the trust is exempted from taxation. For the assessment year 2014-2015 the petitioner filed a return of income on 10-02- 2015 declaring 'nil' income. The copy of the return e-filed by the petitioner with acknowledgment No.479562050100215 is produced as Ext.P2. The Centralized Processing Centre (CPC) of the Income Tax Department, Bangalore issued a notice to the petitioner stating that the return filed by the petitioner was not accompanied with an audit report in Form No.10B of the Income Tax Rules. On receipt of that communication the petitioner uploaded Form No.10B audit report dated 17-02- 2016 vide acknowledgment No.9550135311710216 (see Ext.P4) along with a revised return. The revised return was processed creating Ext.P5 demand for payment of tax of Rs.43,20,990/-. It is submitted that the demand was raised only on account of the fact that according to the CPC, the petitioner had not filed Form No.10B audit report. On receipt of Ext.P5 the petitioner filed Ext.P6 application for rectification before the CPC which was rejected by Ext.P7 stating that the application can be considered only the juri ictional Income tax officer. Accordingly the petitioner filed Ext.P8 on 05-02-2019 before the 1st respondent, who is juri ictional Income tax officer. It is submitted that despite filing of Ext.P8 as early as on 05-02-2019 no orders have been passed on the same and in the meanwhile penalty proceedings have been initiated against the petitioner. The learned counsel for the petitioner states that a direction may be issued to the 1st respondent to consider and pass orders on Ext.P8 before a proceedings for penalty are finalized against the petitioner.

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