JAMIA DINEEA MANCHURIA MADRASSA,GOALPARA, ASSAM vs. ACIT CIR-2, GUWAHATI, GS ROAD, GUWAHATI

The only issue raised by the assessee is against the order of ld. CIT (A) upholding the order passed u/s 143(1) of the Act by the ld. AO, CPC, thereby confirming the addition of ₹49,69,022/-.

The facts in brief are that the assessee is a registered Trust and filed the return of income u/s 139(1) of the Act on 04.03.2022, declaring total income at ₹ nil. The assessee’s trust is registered u/s

Before the first appellate authority, the assessee contended that this delay is only a procedural delay and is not vital to claim the deduction u/s 11 of the Act. However, the appeal was dismissed by the ld. CIT (A).

After hearing the rival contentions and perusing the materials available on record, we find that the only reason cited for disallowing the claim of deduction u/s 11 of the Act by the ld. CIT (A) was only late filing of Form 10B while the due date of filing the Form 10B was 15.02.2022. The said for was filed on 04.03.2022 well before processing of the return. Now, the issue before us is whether there was late filing of audit form 10B which would deprive the trust from claiming the deduction u/s 11 of the Act. In our opinion, the delay in filing the audit form 10B is not vital and accordingly, the exemption u/s 11 of the Act cannot be denied to the trust. The case of the assessee find support from the decisions of M/s Gangji Shamji Chedda (Princewala) Chartable Trust Vs. DCIT, in Hari Gyan Pracharak Trust Vs. The DCIT in Gyandeep Charitable Trust Vs. ADIT in ITA No. 555/AHD/2023. In all the above decisions, it has been held that the delay in filing the audit report is just a procedural lapse on the part of the assessee and it would not result in any rejection of claim u/s 11 of the Act. Accordingly, we set aside the order of ld. CIT (A) and direct the ld. AO

In the result, the appeal of the assessee is allowed.