MAA VAISHO SEVA SAMITI AOP- TRUST,CHENNAI vs. CIT(EXEMPTION) CHENNAI, CHENNAI

आयकर अपीलीय अधिकरण, ’सी’ न्यायपीठ, चेन्नई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI श्री यस यस विश्वनेत्र रवि, न्यावयक सदस्य एवं श्री अविताभ शुक्ला, लेखा सदस्य के समक्ष BEFORE SHRI SS VISWANETHRA RAVI, JUDICIAL MEMBER AND SHRI AMITABH SHUKLA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.2427/Chny/2024 निर्ाारण वर्ा /Assessment Years: 2024 MAA Vaishno Seva Samiti, The Commissioner of Income Tax B-402, Sakthi Towers, (Exemptions), No.349, MRH Road, Chennai Madhavaram, Chennai-60 [PAN: AAFTM5051J] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) अपीलार्थी की ओर से/ Assessee by : Shri M.Karunakaran, Advocate. प्रत्यर्थी की ओर से /Revenue by : Shri R.Clement Ramesh Kumar, CIT सुिवाई की तारीख/Date of Hearing : 20.11.2024 घोर्णा की तारीख /Date of Pronouncement : 22.01.2025 आदेश / O R D E R PER AMITABH SHUKLA, A.M :

This appeal is filed against the order bearing DIN & Notice No.ITBA/EXM/F/EXM45/2024-25/1068260966(1) dated 02.09.2024 for the assessment years 2024. Through the aforesaid appeal the assesse has challenged order dated 02.09.2024 passed by Ld. CIT(E), Chennai whereby he has rejected application in Form-10AB for grant of registration u/s 12AB of the act.

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2.0 At the outset the Ld. Counsel for the assessee requested for remitting the issue back to the file of Ld.CIT(E) for reconsideration of its application in Form-10AB seeking registration u/s. 12AB of the act. The Ld.Counsel submitted that admittedly it failed to make necessary compliances to the show cause notices issued by the Ld.CIT(E ) which eventually resulted in the rejection of his application. In support of justification for non-compliance, the Ld. Counsel submitted that there were some contemporaneous differences, disputes amongst the trustees which led to non-compliance to the show cause notices issued by the Ld.CIT(E ). It was submitted that all the issues now have been resolved and the assessee assures that it shall make due compliance to the notices issued by the Ld.CIT(E ). The Ld. DR argued that argued that the matter may be remitted back back to the file of Ld.CIT(E) for reconsideration however the assessee should pay costs for wasting precious time of this Hon’ble Coordinate Bench.

3.0 We have heard rival submissions in the light of material available on records. We have noted that the only justification given by the Ld.CIT(E ) for rejecting the application of assessee is that no compliance has been made to the show cause notices issued by him. The action of the Ld.CIT(E ) cannot be faulted upon since that was the only right course of action. We however are Page - 2 - of 4 :- 3 -: satisfied with the reasons for non-compliance put forth before us. We are also conscious of the fact that no litigant benefits by not prosecuting its case. Be that as it may be, we are of the view that ends of justice would be met if the assessee is accorded one final opportunity to present its case for grant of registration before the Ld.CIT(E ). We have also noted that the assessee by its conduct has contributed to wastage of precious time of this tribunal. Accordingly, we direct the Ld.CIT(E ) to reconsider assessee’s application in Form-10AB dated 06.03.2024 for grant of registration u/s. 12AB, after giving due opportunity of being heard and by passing a speaking order, subject to payment of cost of Rs.25,000/- by the assessee to the Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within 30 days of the receipt of this order. The assessee shall comply with all the notices of the Ld.CIT(E ) and any non-compliance thereof shall be adversely viewed. Accordingly, all the grounds of appeal raised by the assessee are allowed for statistical purposes.

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In the result, the appeal of the assessee is allowed for statistical 4.0 purposes. Order pronounced on 22nd , January-2025 at Chennai.