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Facts
The assessee, Param Sant Dr. Basant Adhyatmic Avam Shiksha Prasar Jan Seva Prnyas, filed an application for registration of its trust under section 12A/12AA of the Income Tax Act, 1961. The CIT (Exemption) rejected the application, concluding it was a private trust and not engaged in public charitable activities. Despite being listed multiple times and notices being duly served, the assessee did not appear to pursue the appeal before the Tribunal.
Held
The Tribunal, after hearing the Departmental Representative and examining the records, found that the assessee failed to present any material to controvert the findings of the CIT (Exemption). Consequently, the Tribunal upheld the impugned order of the CIT (Exemption) and dismissed the assessee's appeal for lack of merit.
Key Issues
Whether the CIT (Exemption) was justified in rejecting the assessee's application for registration as a charitable trust under sections 12A/12AA of the Income Tax Act, 1961, on the grounds that it was a private trust and not engaged in public charitable activities.
Sections Cited
12AA, 12A
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Income Tax Appellate Tribunal, DELHI BENCH “F”, DELHI
ORDER
PER VIKAS AWASTHY, JM:
This appeal by the assessee is directed against the order of Commissioner of Income Tax (Exemption), Lucknow dated 01.05.2019, passed u/s 12AA of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’)
This appeal was filed by the assessee in 2019, since the time this appeal has been filed the appeal is languishing in Tribunal unattended. The appeal was listed for hearing on 10 occasions. The notice of hearing of appeal was sent to the assessee on the address mentioned in Form No. 36. As per the acknowledgements available on record, the notices sent to assessee/appellant through RPAD were duly served. Despite service of notice none appeared to represent the assessee. It seems that the assessee is not keen to pursue its appeal, therefore, this appeal is taken up for adjudication with the assistance of ld. Department Representative and on the basis of documents already on record.
Shri. P.N. Baranwal, representing the Department submitted that the assessee had filed an application u/s 12 A of the Act for registration of trust. The CIT (Exemption) on examination of documents on record came to the conclusion that the assessee is seeking the benefit of registration of private trust and not a public charitable trust. The assessee failed to show that the assessee is having charitable activities. Accordingly, the CIT (Exemption) rejected assessee's application u/s. 12A of the Act. 4. We have heard the submissions made by ld. DR and have examined the documents on record. The assessee has failed to controvert the findings of CIT (Exemptions). In the absence of any contrary material, we see no reason to interfere with the impugned order. Accordingly, the same is upheld, the appeal of the assessee is dismissed being devoid of any merit.