GHAZIABAD CHRISTIAN SOCIETY,GHAZIABAD vs. CIT (EXEMPTIONS), LUCKNOW

After hearing the rival submissions and going through the order of the CIT(Exemptions), we noted that the CIT(Exemptions) has rejected the application of the assessee as the assessee could not produce the books of accounts and vouchers. In the absence of the production of the books and vouchers, the CIT(Exemptions) was not in a position to look into the genuineness of the activities carried out by the assessee’s society. In our view, for granting the registration u/s 12A(a), it is necessary by the CIT(Exemptions) be satisfied about the genuineness of the activities and the object of the assessee’s society for ascertaining the genuineness of the activities carried out by the assessee. The CIT(Exemptions) is within his power to call for the books of accounts as well as the vouchers. We, therefore, in the interest of justice and fair play to both the parties, set aside the order of the CIT(Exemptions) and restore the issue to the CIT(Exemptions). The assessee is directed to produce all the books of accounts, the vouchers and the documents whatever are desired by the CIT(Exemptions) for the purpose of proving the genuineness of the activities carried out by the assessee’s society. The CIT(Exemptions) is also directed to look into the books of accounts and the vouchers and give a concrete finding in case he rejects the application of the assessee by way of passing a speaking order. How the activities carried out by the assessee’s society are not genuine and not in accordance with the objects of the society. Thus, the appeal of the assessee is statistically allowed.

In the result, the appeal filed by the assessee is statistically allowed.