PODDAR CHHATRA NIWAS,KOLKATA vs. CIT(E), KOLKATA

ORDER

Per Shri A.T.Varkey, JM

3. At the outset, the Ld. A.R. of the assessee Shri S. Jhajharia brought to our notice that from the perusal of the dates fixed for hearing (supra) it can be noted that the dates fall in the midst of Covid-19 pandemic; and therefore due to restrictions imposed by Govt in this regard, the assessee could not appear before the Ld. CIT(E) which resulted in the Ld. CIT(E) rejecting application for its registration by passing the impugned order. However it

Poddar Chhatra Niwas AY: was brought to our notice that the Ld. CIT(E) has granted registration u/s 12AA of the Act by order dated 27.05.2021 which was for AY 2021-22 to 2023-24 against the application made by the assessee afresh on 20.02.2021; (refer to page 79 to 81 of PB). According to Ld. A.R., since the Ld. CIT(E) has granted registration u/s 12AA by order dated 27.05.2021 it is clear that the Ld. CIT(E) must have been satisfied about the charitable objects for which the assessee has been formed and about the genuinity of its activities, which are for un-disputably for charitable purposes. Therefore, according to the Ld. A.R, since the assessee had applied for registration under 12AA of the Act on 26.02.2020 for earlier year the same ought to have been granted by the Ld. CIT(E) but for Covid-19 pandemic, which prevented the Ld.AR from attending for hearing before Ld. CIT€. According to Ld.AR, since there was reasonable cause for not attending the hearing before the Ld. CIT ( E ), the assessee’s registration u/s. 12AA may be granted on the application filed on 26.02.2020. On this prayer of assessee, we note that the assessee had filed Form 10A for registration under 12AA of the Act on 26.02.2020 which was rejected by the Ld. CIT(E) by passing the impugned order on 5.09.2020 for non- compliance, which was due to Covid-19 pandemic. It is a matter of fact that the assessee again had applied for registration on 28.02.2021 and the Ld. CIT(E) has granted it section 12AA registration on 27.05.2021 from AY 2021-22 to 2023-24. In such a scenario, just because the assessee could not appear before Ld. CIT (E) due to Covid-19 pandemic, the rejection of application by the impinged order dt. 5.9.2020 needs to be set aside and the application for registration dt. 26.02.2020 is restored in his file and we direct him to consider again the application filed by the assessee on 26.02.2020 for registration under 12AA of the Act in accordance to law.