SLBS SHODH EVAM PRASIKSAN SANSTHAN,JODHPUR vs. CIT(EXEMPTIONS), JAIPUR

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ITA 94/JPR/2017Status: DisposedITAT Jaipur25 September 2017AY 2016-173 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal held that due to the amendment in the trust's objectives, the matter requires fresh consideration by the CIT(E). The issue of registration was restored to the file of the CIT(E) for reconsideration.

What were the facts?

The assessee trust applied for registration under Section 12AA of the Income Tax Act. The CIT(E) rejected the application because one of the trust's objectives was conducting coaching classes, which was not considered a charitable activity. The assessee later amended its objectives to omit this clause.

What were the issues?

Whether the amended objectives of the trust make it eligible for registration under Section 12AA, requiring fresh consideration by the CIT(E).

Which sections of the Income-tax Act were involved?

Section 12AA,Section 12A

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, JAIPUR BENCHES, JAIPUR

Before: SHRI BHAGCHAND, AM & SHRI KUL BHARAT, JM

For Appellant: Shri Aashish Sharma (Advocate) jktLo dh vksj ls@

PER SHRI KUL BHARAT, J.M.

This appeal by the assessee is directed against the order of Ld. CIT(E),

Jaipur dated 14.12.2015 pertaining to Assessment Year 2016-17.

The assessee has raised the following grounds of appeal:-

“ 1. Under the facts and circumstances of the case and in law, the Ld. Commissioner of Income-tax(E), Jaipur has erred in rejecting the application u/s 12AA vide order dated 14-12-2016 against the law and facts of the case. He arbitrarily holds that the Appellant trust is not eligible for granting registration as charitable trust under Section 12AA of the Income Tax Act, 1961 and rejected the application of the appellant trust dated 04/07/2016.

That the appellate reserves the right to add, amend, alter, delete or modify or withdraw any or all of the above grounds of appeal before or at the time of hearing.

Hope the above grounds of appeal are valid for taking the matter in appeal.”

2 ITA No. 94/JP/2017. SLBS Shodh Evam Prasiksan Sansthan, Jaipur.

2.

Briefly stated facts are that, the assessee filed an application in Form Nos.

10A seeking registration u/s 12A(a) of the Income Tax Act, 1961(hereinafter

referred to as the Act). The said application was rejected by the Ld. CIT(E) on the

ground that one of the object of the assessee trust is conducting coaching classes

which does not fall in the category of charitable activity.

At the outset, Ld. Counsel for the assessee submitted that the assessee trust has

amended its objectives. He drew our attention to Paper Book-2 Page Nos. 16 to 24

to demonstrate that it has omitted clause of conducting coaching classes.

3.

Ld. CIT(D/R) submitted that in view of the amendment in the objectives of

the assessee trust, the issue of registration may be remitted to the file of the Ld.

CIT(E).

4.

We have heard the rival contentions. In view of the fact that the assessee has

modified objectives, requires fresh consideration by the Ld. CIT(E). Under these

facts, we deem it proper to the interest of justice. We restore this issue to the file of

the Ld. CIT(E) to reconsider the issue of registration u/s 12AA. Therefore, grounds

raised in this appeal are allowed for statistical purposes.

5.

In the result, appeal of the assessee in ITA No. 94/JP/2017 is allowed for

statistical purposes. Order pronounced in the open court on Tuesday, the 10th day of October 2017.

Sd/- Sd/- ( HkkxpUn] ½ ( dqy Hkkjr) (BHAG CHAND ) ( KUL BHARAT ) ys[kk lnL;@Accountant Member U;kf;d lnL;@Judicial Member Jaipur Dated:- 10/10/2017 Pooja/ आदेश की प्रतिलिपि अग्रेषित@ब्वचल वf जीम वतकमत वितूंतकमक जवरू

3 ITA No. 94/JP/2017. SLBS Shodh Evam Prasiksan Sansthan, Jaipur.

1.

The Appellant- SLBS Shodh Evam Prasiksan Sansthan, Jaipur. 2. The Respondent – The CIT(E), Jaipur. 3. The CIT(A). 4. The CIT, 5. The DR, ITAT, Jaipur 6. Guard File (ITA No. 94/JP/2017) vkns'kkuqlkj@ By order,

सहायक पंजीकार@ Aेेपेजंदज. त्महपेजतंत

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