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Facts
The assessee filed an appeal against the rejection of its registration application by the CIT(E). The CIT(E) rejected the application citing non-compliance with notices and failure to provide necessary documents. The assessee contended that all required documents were submitted before the CIT(E)'s order was passed.
Held
The Tribunal noted that the CIT(E) observed that the assessee failed to appear and provide necessary documents, despite the assessee submitting documents before the order was passed. The Tribunal found the CIT(E)'s observation to be incorrect.
Key Issues
Whether the CIT(E) erred in rejecting the registration application without considering the documents submitted by the assessee, and whether the observation that the assessee was non-responsive was erroneous.
Sections Cited
12AA
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Income Tax Appellate Tribunal, “A” BENCH : BANGALORE
Before: SHRI. LAXMI PRASAD SAHU & SHRI. KESHAV DUBEY
Per Laxmi Prasad Sahu, Accountant Member :
This appeal is filed by the assessee against the rejection of registration order passed by the learned CIT(E) vide Order dated 11.12.2024, DIN and Notice No.ITBA/EXM/F/EXM45/2024-25/1071107435(1).
The learned AR of the assessee reiterated the submissions made before the learned CIT(E) and she submitted that assessee has complied with the notice and submitted that after filing of documents, met the concerned Officer to enquire if any further documents are required and further details were also given as was required. After providing entire details, the rejection order was Page 2 of 3 passed by the learned CIT(E) observing that assessee has not provided the requisite details and subsequently rejected the application filed by the assessee. Asseessee received information on 09.10.2024 asking to submit the necessary documents to process the application for registration in Form 10AB for therelevant block periods in this regard, assessee replied to notice. Assessee filed reply on 27.11.2024 attaching the entire details. However, the learned CIT(E) has not taken note of the submissions made by the assessee. Also assessee has filed reply on 29.06.2024 and she requested that the matter may be sent back to the learned CIT(E) for a fresh consideration along with the documents filed as required by the learned CIT(E) that were filed earlier.
On the other hand, the learned DR relied on the Order of the learned CIT(E) and fairly accepted that the matter should be examined afresh considering the documents submitted by the assessee.
Considering the rival submissions, we noted that on 27.11.2024 assessee has submitted various documents containing Sl. Nos.1 to 10 vide acknowledgment No.729412571271124 which is placed on record. The learned CIT(E) has passed Order on 11.12.2024 which is much after the submission of the documents. However, the learned CIT(E) has observed in para No.4 that the notice was issued but the assessee failed to appear before him and did not file necessary documents / details as required under section 12AA of the Act and application in Form 10AB dated 29.06.2024 has been rejected. He also noted that JAO had issued letters / notices on 09.10.2024, 05.11.2024 and 20.11.2024. He has observed that assessee was non- responsive and wrongly noted that the assessee has not responded till the date of Order. Therefore, considering the prayer of the learned Counsel and taking into account the facts of the case and in the interest of justice, we remit this issue back to the CIT(E) for a fresh consideration.
In the result, appeal filed by the assessee is allowed for statistical purpose.
Pronounced in the court on the date mentioned on the caption page.