Loading judgment…
Facts
The assessee filed an application under section 12A(1)(ac)(v) of the Income Tax Act, 1961, to intimate changes in its objects clauses. The CIT(Exemption) rejected the application as non-maintainable due to non-compliance with the show cause notice. The assessee claimed technical glitches prevented them from uploading requested details.
Held
The Tribunal restored the issue to the file of the CIT(Exemption) with a direction to reconsider the assessee's application after giving due opportunity of being heard. The assessee's grounds were allowed for statistical purposes.
Key Issues
Whether the CIT(Exemption) was justified in rejecting the application for intimation of changes in object clauses as non-maintainable without considering the merits, and whether the assessee's technical glitch claim is valid.
Sections Cited
12A(1)(ac)(v), 12AB, 12AA, 12A
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, PUNE BENCH “A”, PUNE
This appeal filed by the assessee is directed against the order dated 06.12.2024 of the Ld. CIT(Exemption), Pune dismissing the application filed by the assessee intimating the changes in the object clauses as non-maintainable.
Facts of the case, in brief, are that the assessee filed an application in Form No.10AB on 31.08.2024 intimating certain changes in the objects clauses as per the provisions of section 12A(1)(ac)(v) of the I.T. Act, 1961. As per the said application in Form No.10AB, the section code of the application is ‘04-sub-clause (v) of clause (ac) of sub-section (1) of section 12A’. The CIT(E), therefore, issued a show cause notice asking the assessee to furnish the following details:
(i) Self-certified copy of earlier registration u/s 12AB of the Act. (ii) Date of adoption or modification of objects. (iii) Self-certified copy of trust deed / MoA before adoption /modification of objects. OME TAX DEPART (iv) Self-certified copy of trust deed / MoA after adoption /modification of objects, with special reference to specific objects modified / adopted.
However, there was no response from the side of the assessee to the above notice for which another notice was issued to the assessee on 08.11.2024. Again there was non-compliance from the side of the assessee for which the Ld. CIT(E) held that the assessee prima facie appears to have filed the present application inadvertently. He, therefore, treated the same as non-maintainable and rejected the application without going into merit of the case.
The Ld. Counsel for the assessee at the time of hearing submitted that the assessee is having regular registration u/s 12AA of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) vide order dated 04.05.2016 of the CIT(E), Pune. Referring to pages 39 to 40 of the paper book, he drew the attention of the Bench to the resolution passed on 07.12.2023 approving the change of clauses in main objects and additionally in clause 3B and clause 4 of the Memorandum of Association of the company. Referring to pages 41 to 48 of the paper book, he drew the attention of the Bench to the copy of the amended Memorandum of Association and the Articles of Association. Referring to pages 49 to 59 of the paper book, he drew the attention of the Bench to the copy of application filed to intimate the modification of objects clause u/s 12A(1)(ac) in Form No.10AB on 31.08.2024. He submitted that due to technical glitches in the portal of the department, the assessee could not upload the details as called for by the Ld. CIT(E). When the assessee approaches the Ld. CIT(E) with a request to accept the physical copy, the same was denied. He submitted that thereafter also the assessee tried its best but could not upload the details. He submitted that since the assessee trust is having a valid registration and only due to changes in the objects clause the assessee had filed the application as per the mandate of the provisions of the Act, therefore, the Ld. CIT(E) should have accepted the same. He accordingly submitted that a suitable direction may be given to the Ld. CIT(E) to consider the application of the assessee.
The Ld. DR on the other hand submitted that he has no objection if the matter is restored to the file of the Ld. CIT(E).
We have heard the rival arguments made by both the sides, perused the order of the Ld. CIT(E) and the paper book filed on behalf of the assessee. We find the assessee made an application before the Ld. CIT(E) intimating the changes in the objects clauses of the Memorandum of Association and the Articles of Association of the company as per the provisions of section 12A(1)(ac)(v) of the I.T. Act, 1961. Since it is the submission of the Ld. Counsel for the assessee that due to technical glitches in the portal of the income tax department, the assessee could not upload the requisite details asked by the Ld. CIT(E) for which the Ld. CIT(E) rejected the application filed by the assessee, therefore, considering the totality of the facts of the case and in the interest of justice, we deem it proper to restore the issue to the file of the Ld. CIT(E) with a direction to go through the application filed by the assessee and pass appropriate order as per law since the assessee is holding a valid registration u/s 12A of the I.T. Act, 1961. Needless to say the Ld. CIT(E) shall give due opportunity of being heard to the assessee and decide the application as per law. We hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes.
In the result, the appeal filed by the assessee is allowed for statistical purposes.
Order pronounced in the open Court on 13th June, 2025.