M/S LALITA DEVI SEWA SANSTHAN,GAYA vs. C.I.T.-EXEMPTION, PATNA

IN THE INCOME TAX APPELLATE TRIBUNAL PATNA BENCH, PATNA Before Sh: N: K Saini; AM and Sh: Shudhanshu Srivastava, JM ITA No.02/Pat./2018, Asstt. Year Mls Lalita Devi Sewa Sansthan; Gaya: (APPELLANT) PAN No. AAAAL3383Q Vs Commissioner of Income Tax (Exemptions) Patna (Bihar) (RESPONDENT) Assessee by :None Revenue by Smt: Archana Sinha, Sr: S.C: Date of Hearing 12.03.2018 Date of Pronouncement 14 .03.2018 ORDER Per_NKSaini_AM: This is an appeal by the assessee against the order dated 11.10.2017 of Id. CIT (Exemptions), Patna. 2 The only grievance of the assessee in this appeal relates to the rejection of application for grant of registration u/s 12AA of the Income Tax Act; 1961 (hereinafter referred to as the Act) by the Id_ CIT(E), Patna. 3 Facts of the case in brief are that the assessee filed an application in Form No_ 1OA of the Income Tax Rules, 1962 for registration uls 12AA of the Act on 22.05.2017_ The Id. CIT(E) rejected the application by observing that all the receipts and payments were made through cash and also the assessee could not explain to whom rent expenses of Rs.36,000/- had been paid. 4 _ Now the assessee is in appeal. During the course of hearing nobody was present on behalf of the assesse neither any 2 ITA No. 02/Pat./2018 adjournment application was filed. We, therefore, proceeded ex- parte and appeal is decided after hearing Id_ Sr. S C. who supported the impugned order passed by the Id, CIT(E). 5_ We have considered the submissions of the Ld. Sr, S C. and carefully gone through the material available on the record. In the present case, it is noticed that the Id. CIT(E) rejected the application of the assessee by mentioning that the assessee could not explain to whom rent was paid and that the receipts and payments were in cash: However; he has not commented as to whether the activities f the assessee were charitable in nature and those were genuine which is primary requirement for granting the registration ulsl2AA of the Act. We; therefore, deem it appropriate to set aside this case back to the file of the ld CIT(E) to be adjudicated afresh in accordance with law after providing due and reasonable opportunity of being heard to the assesse. 6 In the result; the appeal of the assessee is allowed for statistical purposes: (Order Pronounced in the Court on 14/03/2018) / - - (N. K Saini) (Sudhanshu Srivastava) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 14 /03/2018 S. sinha*