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Facts
The assessees, Yuj Arts Foundation and Xander India Foundation, appealed against the CIT(Exemption)'s orders dated 30.03.2024. The CIT(E) had summarily rejected their exemption applications without considering the merits of the case or the objects of the respective societies.
Held
The Income Tax Appellate Tribunal remanded the cases back to the CIT(Exemption) for fresh adjudication on merits. The CIT(E) was directed to pass a speaking order, taking into account relevant Supreme Court judgments. The assessees were instructed to comply with notices from the CIT(E) without seeking undue adjournments.
Key Issues
Whether the CIT(Exemption) can summarily reject exemption applications without proper consideration of merits and the objects of the applicant societies.
Sections Cited
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Income Tax Appellate Tribunal, DELHI BENCH ‘H’, NEW DELHI
Before: Dr. B. R. R. KumarSh. Sudhir Kumar
ORDER Per Dr. B. R. R. Kumar, Accountant Member:
The present appeals have been filed by the assessees against the orders of ld. CIT(Exemption), Delhi dated 30.03.2024.
On going through the record, we find that the ld. CIT(E) has summarily rejected the application of the assessee without going into the merits of the case and objects of the society.
, 2734, 2735 & 2736/Del/2024 2 Yuj Arts & Xander India Foundation Hence, in the interest of justice, the case is being remanded to the file of the ld. CIT(E) to adjudicate the issue on merits by passing a speaking order considering the judgments of Hon’ble Apex Court in the case of Ananda Social & Educational Trust Vs. CIT, 114 Taxman 293, Self-Employer’s Service Society Vs. CIT, 113 Taxman 703 and also the judgment of Hon’ble Apex Court in the case of in M/s New Noble Educational Society Vs. CCIT (CA No. 3795 of 2014) to examine the objects of the society. The assessee shall comply to the notices issued by the ld. CIT(E) promptly without seeking any unnecessary adjournments.
In the result, the appeals of the assessees are allowed for statistical purpose. Order Pronounced in the Open Court on 22/08/2024.