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Facts
The assessee filed appeals against two orders of the CIT(E) dated 21.08.2024, which rejected their Form No. 10AB for registration u/s.12AB and approval u/s.80G of the Income Tax Act, 1961. The CIT(E) had passed ex-parte orders as the assessee did not reply to notices.
Held
The Tribunal noted that the notices from the CIT(E) might have gone into the assessee's spam folder, leading to inadvertent misses. Considering the interest of justice and equity, the Tribunal decided to give the assessee one more opportunity to present their case.
Key Issues
Whether the ex-parte orders passed by the CIT(E) are justified, and whether the assessee should be given another opportunity to represent their case.
Sections Cited
12AB, 80G, Income Tax Act, 1961
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Income Tax Appellate Tribunal, ‘B’ BENCH, CHENNAI
Before: SHRI GEORGE GEORGE KAND SHRI S.R. RAGHUNATHA
आदेश /O R D E R
PER GEORGE GEORGE K, VICE PRESIDENT: These two appeals at the instance of the assessee are directed against two orders of CIT(E) both dated 21.08.2024, rejecting Form No.10AB filed for seeking registration u/s.12AB and approval u/s.80G of the Income Tax Act, 1961 (hereinafter the ‘Act’).
& 2389/CHNY/2024 2. At the very outset, we notice that the CIT(E) has passed ex-parte orders. The reason for deciding the appeals ex-parte was that the assessee did not reply to the notices issued from the office of the CIT(E). The ld.AR submitted that notices issued by the CIT(E) through e-mail went into the spam folder and therefore the notices have been missed inadvertently by the assessee. It was submitted that in the interest of justice and equity, one more opportunity may be provided to represent its cases before the CIT(E).
The ld.DR supported the orders of CIT(E).
We have heard rival submissions and perused the material on record. The Office of the CIT(E) had issued notices by e-mail directing the assessee to file certain details/documents. Since there was no response by the assessee to the notices issued, the CIT(E) passed ex-parte orders. It is the claim of the assessee that the notices issued through e-mail have been missed inadvertently since it is received in spam folder. In the interest of justice and equity, we are of the view that assessee ought to be provided with one more opportunity to represent its cases and accordingly the issues are restored to the files of the CIT(E). The assessee is directed to co- & 2389/CHNY/2024 operate with the Revenue and shall not seek unnecessary adjournment. It is ordered accordingly.
In the result, both the appeals filed by the assessee are allowed for statistical purposes.
Order pronounced in the open court on 21st November, 2024 at Chennai.