SHRI GOVERDHAN SARASWATI VIDHYA MANDIR,DHARAMPUR vs. CIT EXEMPTION, LUCKNOW

The appeal filed by the assessee is beyond the time prescribed u/s 253(3) of Income Tax Act, 1961 (“the Act” for short). The assessee has filed application for condonation of delay; pleading that the delay was unintentional and beyond the control of the assessee and has requested to admit the appeal for hearing. The learned CIT, D.R. did not express any objection to assessee’s application for condonation of delay in filing of the appeal. In view of the foregoing, and being convinced with the pleadings of the assessee, the delay in filing of this appeal is condoned; and the appeal is admitted for hearing.

At the time of hearing before the Tribunal, there was no representation from the assessee’s side. In the absence of any representation from the assessee’s side, the learned CIT, D.R. for Revenue was heard and the materials on record were perused. On perusal of records, it is found that assessee is enjoying registration u/s 12AA of the Act and had applied for registration u/s 80G of the Act which the CIT (Exemptions) has rejected. It is also noted that learned CIT (Exemptions) required the assessee to furnish certain information which the assessee had filed on 08/02/2024 and which the CIT (Exemptions) had noted in para 2 of his order and without affording sufficient opportunity to the assessee to explain his observations, the CIT (Exemptions) has rejected the application of the assessee under section 80G of the Act.

We have heard the rival parties and have gone through the material placed on record. It is an undisputed fact that the CIT (Exemptions) wanted certain information for considering approval u/s 80G of the Act and the assessee replied to those queries vide letter dated 08/02/2024. This fact has been noted by CIT (Exemptions) in his order under para 2 itself. The CIT (Exemptions), after recording his finding and without confronting the same to the assessee and without giving the assessee a chance to explain his observations, disallowed the claim of the assessee u/s 80G of the Act vide order dated 27/03/2024. The action of CIT (Exemptions) is against the rules of natural justice, therefore, we deem it appropriate to remit the issue back to the file of the CIT (Exemptions) who should readjudicate on the above issue after giving sufficient opportunity to the assessee to explain its case.