Loading judgment…
Facts
The assessee, Rotary Seva Sansthan Dahod, appealed against the Commissioner of Income Tax (Exemption)'s order denying registration under Section 12AB due to the assessee's failure to respond to hearing notices. The appeal was filed with a 41-day delay, which the assessee sought to condone, citing their remote location and lack of online access as reasons for non-appearance before the CIT(E).
Held
The Tribunal condoned the 41-day delay in filing the appeal, subject to the assessee paying a cost of Rs. 5000/- to the Income Tax Department. The matter was remitted back to the CIT(E) with a direction to provide the assessee one more opportunity of hearing for the registration of the Trust under Section 12AB.
Key Issues
Condonation of delay in filing the appeal; and whether to grant a fresh opportunity for hearing for registration under Section 12AB when denial was due to non-appearance.
Sections Cited
12AB
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “A” BENCH, AHMEDABAD
Before: SHRI T.R SENTHIL KUMAR & SHRI NARENDRA PRASAD SINHA
O R D E R PER T.R. SENTHIL KUMAR, JUDICIAL MEMBER This appeal is filed by the Assessee as against appellate order dated 22.10.2024 passed by the Commissioner of Income Tax (Exemption), Ahmedabad, denying registration u/s.12AB of the Income Tax Act, 1961 [hereinafter referred to as ‘the Act’] on the ground that assessee failed to response to the hearing notices.
The registry has noted that there is a delay of 41 days in filing the above appeal. The assessee has filed a notarized Rotary Seva Sansthan Dahod vs. CIT(E) Asst.Year –N.A - 2– affidavit stating that assessee-trust is located in a remote place where they do not have access to emails and online portal facilities. Thus, they failed to appear for registration u/s.12AB of the Act before the Ld.CIT(E). When the rejection of order came to the knowledge, the assessee-trust approached the Counsel at Ahmedabad, and subsequently filed the appeal with a delay of 41 days. Therefore, requested to condone the delay. The Ld. Counsel for the assessee submitted that the assessee-trust undertakes to file all the necessary documents before the Ld.CIT(E), if they have been given one more opportunity of hearing.
The Ld. CIT(DR) has raised no serious objection, if the matter is set-aside back to the file of the Ld.CIT(E).
Considering the submissions of both the parties, the delay of 41 days in filing of above appeal is hereby condoned by imposing a cost of Rs.5000/- payable by the assessee-trust to the Income Tax Department, within two weeks of receipt of copy of this order. Upon production of proof of payment of cost, the Ld.CIT(E) is directed to give one more opportunity of hearing to the assessee for registration of Trust in accordance with Law. Needless to say, the assessee should make use of this final opportunity of hearing by furnishing all the necessary details. Rotary Seva Sansthan Dahod vs. CIT(E) Asst.Year –N.A - 3–
In the result, the appeal is allowed for statistical purposes.