THE SAJJAN JAIN SUPPORT TRUST,KANDIVALI (EAST) vs. INCOME TAX OFFICER, WARD 41(4)(4), MUMBAI

The registry has informed that the assessee filed the appeal with a delay of 478 days. To explain the delay, the assessee submitted an affidavit stating that the notice was served via the email account of an employee who had resigned on 30/07/2022, without informing the assessee about the receipt of the notice. Subsequently, the email address was updated, and the official email was registered on the online portal. The Ld.DR raised an objection to the condonation of delay. However, we find no merit in the DR’s argument. Considering the facts of the case, we accept the affidavit submitted by the assessee and condone the delay of 478 days. Accordingly, the appeal is admitted for adjudication.

The Ld.AR placed that the assessee was granted provisional registration in Form 10AC under section 12A(1)(ac)(iv) and under section 80G(5) of the Act on 24/05/2022 and 22/06/2022. Subsequently, the assessee had filed Form 10AB seeking registration under section 12A(1)(ac)(ii) of the Act. However, the said application for registration under section 12AB following n Form 10AB was rejected on the ground that the assessee had not submitted the provisional registration certificate in Form 10AC issued by the CPC, Bengaluru, before the Ld.

The Ld.DR argued and relied on the order of the revenue authorities.

We heard the rival submission and examined the documents availablein the record.The assessee, through an affidavit, explained that the email address used for communication was that of a staff member who had resigned on 30/07/2022. Since the email account was no longer being accessed by anyone, the notice went unnoticed, resulting in non-compliance and no corrective measures could be taken within the prescribed time. Consequently, all notices remained unaddressed before the Ld.CIT(E). The Ld.CIT(E), however, rejected the application solely on the ground of non-submission of the provisional registration certificate in Form 10AC. The Ld.AR contended that the said certificate was, in fact, available on the Income Tax portal. Moreover, the Ld.CIT(E) opined that while the application was rejected, the assesse retained the liberty to reapply for final approval of registration. In our considered view, the matter warrants reconsideration. Accordingly, we remit the case back to the file of the Ld.CIT(E) for fresh adjudication, after granting the assessee an opportunity to submit the necessary documents. A reasonable opportunity should be provided to the assessee to present its case. On the other hand, the assessee is expected to act diligently and cooperate fully with the Ld.CIT(E) to ensure expeditious disposal of the remanded proceedings.