JAMIA RAHMANI,MUNGER vs. CIT EXEMPTION, PATNA
Facts
The assessee, a registered Public Trust, filed an appeal against an ex-parte order passed by the CIT(Exemption) for AY 2023-24. The CIT(Exemption) dismissed the appeal after the assessee failed to appear despite several opportunities.
Held
The Tribunal set aside the order of the CIT(Exemption) to uphold the principle of natural justice. The matter was remitted back to the CIT(Exemption) for fresh adjudication, with a direction to provide one more opportunity to the assessee.
Key Issues
Whether the ex-parte order passed by the CIT(Exemption) was justified when the assessee was not given sufficient opportunity to represent its case.
Sections Cited
IT Act
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, KOLKATA-PATNA ‘e-COURT’, KOLKATA
Before: Shri Duvvuru RL Reddy, Vice-(KZ) & Shri Sanjay Awasthi
Per Duvvuru RL Reddy, Vice-President (KZ):- The present appeal is directed at the instance of assessee against the order of ld. Commissioner of Income Tax (Exemption),
ITA No. 397/PAT/2024 (A.Y. 2023-2024) Jamia Rahmani Patna dated 2nd March, 2024 passed for the assessment year 2023- 24.
Brief facts of the case are that the assessee is a registered Public Trust and was formally incorporated on 21st February, 2009. Md. Arif Rahmani, Trustee of the assessee-Trust submitted a petition before the ITAT on 30th April, 2024 requesting for reconsideration and clarification regarding ex-parte order passed by the ld. CIT(Exemption). It was also stated in the petition to review the financial transactions made by the assessee-Trust and the norms of the assessee-Trust’s financial policy in respect of receipts above Rs.50,000/- and cash payments exceeding Rs.50,000/- as well as clause in Trust Deed at the time of incorporation as per the guiding principles of Public Trusts.
The ld. CIT(Exemption) has given several opportunities to the assessee to substantiate its claim, but the appellant neither filed the written submission nor represented the case before the ld. CIT(Exemption). Thereafter the ld. CIT(Exemption) dismissed the appeal ex-parte on 2nd March, 2024.
Dissatisfied with the decision of the ld. CIT(Exemption), the assessee preferred appeal before the Tribunal.
At the time of hearing, ld. Counsel for the assessee prayed before the Bench that the impugned order be set aside and remitted back to the file of ld. CIT(Exemption) for deciding it afresh.
ITA No. 397/PAT/2024 (A.Y. 2023-2024) Jamia Rahmani 6. The ld. D.R., on the other hand, submitted that the assessee should be more vigilant about its obligation towards prosecuting income tax proceedings. He argued to uphold the order passed by the ld. CIT(Exemption).
We have duly considered the rival contentions and gone through the record carefully. Considering the facts and circumstances of the case, we are inclined to set aside the order passed by the ld. CIT(Exemption) in order to meet the principle of natural justice, and remit the matter back to the file of ld. CIT(Exemption) for fresh adjudication with a direction to provide one more opportunity of being heard to the assessee. At the same breath, we also hereby caution the assessee to promptly co-operate with the proceedings before the Ld. CIT(Exemption) failing which the Ld. CIT(Exemption) shall be at liberty to pass appropriate order in accordance with law and merits based on the materials available on the record. Thus, the grounds raised by the assessee are allowed for statistical purposes.
In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open Court on 24/04/2025.
Sd/- Sd/- (Sanjay Awasthi) (Duvvuru RL Reddy) Accountant Member Vice-President (KZ) Kolkata, the 24th day of April, 2025
Copies to :(1) Jamia Rahmani, Khanqah, Munger-811201, Bihar (India) 3
ITA No. 397/PAT/2024 (A.Y. 2023-2024) Jamia Rahmani
(2) Commissioner of Income Tax (Exemption), Patna, 4th Floor, Lok Nayak Jai Prakash Bhawan, New Dak Bunglow, Bander Bagicha, Chowk, Bihar (3) CIT - ; (4) The Departmental Representative; (5) Guard File TRUE COPY By order
Assistant Registrar, Income Tax Appellate Tribunal, Kolkata Benches, Kolkata Laha/Sr. P.S.
