Loading judgment…
Facts
The assessee's application for final registration under Section 12AB of the Income-tax Act, 1961 was rejected by the CIT(E), and its provisional registration under Section 12AB was also cancelled. The CIT(E) passed an ex-parte order due to the assessee's non-filing of required information/clarifications.
Held
The Income Tax Appellate Tribunal (ITAT) remanded the matter back to the CIT(E) for fresh adjudication, citing principles of natural justice and fair play. The assessee is directed to actively participate in hearings and avoid seeking unnecessary adjournments.
Key Issues
Rejection of final registration under Section 12AB and cancellation of provisional registration ex-parte due to non-compliance with information requests by CIT(E).
Sections Cited
12AB
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, INDORE BENCH, INDORE
आदेश/ O R D E R
Per B.M. Biyani, A.M.:
Feeling aggrieved by order dated 04.03.2024 passed by learned Commissioner of Income-Tax (Exemption), Bhopal [“CIT(E)”] by which the assessee’s application for grant of final registration u/s 12AB of Income-tax Act, 1961 has been rejected and also the provisional registration earlier granted u/s 12AB has also been cancelled, the assessee has filed this appeal on the grounds mentioned in Appeal Memo (Form No. 36).
On hearing learned Representatives of both sides, it emerges that the CIT(E) has passed impugned order ex-parte qua assessee for non-filing of certain information/clarifications required by CIT(E). The Ld. AR, however, submitted that the assessee is ready to file the information/clarification as may be required by CIT(E) and in the interest of justice one more opportunity should be given to assessee. Accordingly, Ld. AR prayed to re- store this matter at the level of CIT(E) for a fresh adjudication.
Ld. DR for revenue agrees with the prayer of Ld. AR but makes a request to direct the assessee to represent his case before CIT(E) and do not seek unnecessary adjournments.
Considering above submissions and also having regard to the principle of natural justice and fair play, we deem it fit to remand this matter back to the file of CIT(E) for adjudication afresh after giving necessary opportunities to assessee. The assessee is also directed to ensure participation in the hearings as may be fixed by CIT(E) and do not seek unnecessary adjournments failing which the CIT(E) shall be at liberty to pass appropriate order in accordance with law. Ordered accordingly.
Resultantly, this appeal is allowed for statistical purpose.