Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, “B” BENCH, MUMBAI
This appeal is filed by the assessee trust for A.Y. 2012-13 against the appellate order passed by National Faceless Appeal Centre dated 09.06.2022 wherein assessment order passed under section 143(3) r.w.s 147 of the Act dated 30.11.2017 passed by the ITO(Exemption)-1-1 Mumbai (The Assessing Officer) was upheld. The assessee is aggrieved with the appellate order and has raised following grounds of appeal:
“Ground no 1 & 2
This ground of appeal is regarding the addition made of ₹70,55,980 on account of disallowance of exemption u/s 11 and 12 of the Income Tax Act on account of non-producing of 12A certificate.
The appellant is a Trust registered under Bombay Public Trust Act 1950, bearing Registration No B- 1105(Bom). The appellant trust is engaged in giving Education and Medical Aid and other charitable activities to the poor and down trodden. The Ld. Assessing Officer issued the notice to the appellant under section 148 dated 31.03 2017, calling the Appellant Trust to file the Return of Income for the A.Y. 2012-13 as it was noticed that the appellant was in receipt of income which was above the taxable limit for filing of return. As stated above, the Appellant Trust had already filed the return of income on 28.09.2012 vide acknowledgement number 001331.
Finally, the Appellant Trust received a copy of the Assessment order dated 30.11.2017 for the AY 2012- 13 passed under section 143(3) rws 147 of the Income Tax Act. During the course of assessment proceedings it was informed to the Assessing Officer that the certificate u/s 12A was not traceable and will be produced in due course.
However, the Id. Assessing Officer passed the Assessment Order for the A.Y. 2012-13 determining high pitch total income of ₹70,55,980/- and also Ground No 3:
This is a general ground of appeal regarding certain factual mistakes and the reliance placed by the Assessing Officer on certain decisions which are not applicable to the facts of the Appellant's case. This aspect of the matter has already been covered in the respective specific ground of appeal raised.”
The brief fact of the case shows that assessee is a charitable trust registered under the Bombay Public Trust Act, 1950 and further registered under section 12A of the Act as per Registration No. TR/6733 dated 17.06.1976.
The learned Assessing Officer issued notice to the assessee based onnon-filers monitoring system cycling (NMS Cycle). The notice under section 148 was issued on 31.03.2017. This culminated in to the assessment order 143(3) read with section 147 of the Act. The learned Assessing Officer assessed the total income of the assessee at ₹70,55,980/- and granted deduction of expenditure only of ₹1,88,996/-. Thus the learned assessing officer denied exemption to the assessee Under the provisions of Section 11 and Section 12 of the income tax act, as the assessee could not produce the copy of registration certificate u/s 12 A of the act. The assessee is
The learned authorized representative submitted a paper book containing 24 pages. It was submitted that assessee is a registered trust under section 12A of the Act and therefore, exemption under section 11 and 12 of the Act cannot be denied. Assessee submitted that certificate dated 26.10.2018 was submitted before the learned CIT(A) wherein CIT (Exemption) Mumbai categorically certified that the assessee trust is registered under section 12AA of the Act since 17.06.1976. It was also stated that before the learned CIT(A), 12A certificate was also submitted according to E-proceedings response
The learned Departmental Representative vehemently supported that order of the lower authorities.
We have carefully considered the rival contentions and pursued the orders of the lower authorities. Undoubtedly, the assessee is charitable trust registered under the Bombay Public Trust Act and registered under section 12A of the Act vide registration No. PR/6733 dated 17.06.1976. This fact is certified by the CIT(Exemption), Mumbai vide letter dated 26.10.2018 issued to the assessee in response to request of the assessee dated 22.06.2018 for duplicate certificate. The learned ITO, Exemption, headquarter, technical, Mumbai on behalf of CIT Exemption has categorically intimated that the assessee trust has been registered w.e.f 17.06.1976. In view of this the assessee is entitled to exemption under section 11 and 12 of the Act. Both the lower authorities have denied the exemption as assessee failed to produce the copy of the certificate of registration under section 12A of the Act. Now, before us a certificate confirming the registration of the trust under section 12A is made available. Assessee submits that same was also submitted before the learned CIT(A). Without entering any further debate on this, it is evident that trust is registered under section 12A of the Income Tax Act from 17.06.1976 and therefore, the claim of the assessee for exemption under
In the result, appeal of the assessee is allowed for statistical purposes.
Order pronounced in the open court on 15.11.2022.