MURUGAN CHETTIAR SHANMUGAM CHARITABLE TRUST,TIRUPUR vs. CIT(EXEMPTIONS), CHENNAI

2 2. At the outset, it is stated by ld.counsel for the assessee that the CIT(Exemption) rejected application for registration of trust filed by assessee u/s.12AA of the Act, in Form No.10A dated 29.07.2020 without providing opportunity of being heard and moreover, without deliberating on merits just simpliciter on account of non-appearance of the assessee. The relevant finding given in para 4 & 5 of CIT(Exemption) order reads as under:- “4. It is clear from the above that the assessee failed to comply with any of the notices sent, in spite of several reasonable opportunities afforded. In the light of the above facts, it appears that the applicant trust/society is not interested in getting itself registered u/s.12AA of the I.T. Act. For want of the necessary particulars the above referred application filed by the applicant could not be processed as per the provisions of sec. 12AA of the I.T. Act which is getting barred by limitation on 31-03-2021.

As the assessee has failed to fulfill the statutory requirements inspite of repeated opportunities, its application seeking registration u/s.12AA of the I.T. Act is rejected.”

When these facts were confronted to ld. senior DR, he could not controvert the above facts that the order of CIT(Exemption) is non-speaking. After hearing rival contentions and going through the order of CIT(Exemption), we noted that the order of CIT(Exemption) on all facet is non-speaking and hence, we set aside the order and remand the matter back to his file for registration of trust u/s.12AA of the Act, after verifying all the facts as per law. The order of 3 CIT(Exemption) is set-aside and appeal of the assessee is allowed for statistical purposes.

In the result, the appeal of the assessee is allowed for statistical purpose.