DISHA EDUCATION SOCIETY,RAIPUR vs. ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-EXEMPTION, BHOPAL

PDF · subscribers
ITA 12/IND/2024Status: HeardITAT Indore10 May 2024AY 2019-20Bench: SHRI VIJAY PAL RAO (Judicial Member), SHRI B.M. BIYANI (Accountant Member)3 pages
AI SummaryRemanded

What did the Tribunal hold?

The ITAT noted that subsequent ITAT orders had set aside the cancellation of the assessee's registration and approval. Therefore, the assessee is entitled to exemptions. The appeal was remanded to the AO for fresh consideration.

What were the facts?

The assessee society's registration and approval under sections 12A and 10(23C)(vi) were cancelled. The AO made an addition of Rs. 22,18,000/-. The assessee's appeal before the CIT(A) was dismissed for non-prosecution.

What were the issues?

Whether the assessee is entitled to exemptions under sections 12A and 10(23C)(vi) in light of subsequent favorable ITAT orders, and if the assessment needs to be re-adjudicated.

Which sections of the Income-tax Act were involved?

Section 143(3),Section 144B,Section 12A,Section 10(23C)(vi),Section 154

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, INDORE BENCH, INDORE

Before: SHRI VIJAY PAL RAO & SHRI B.M. BIYANI

For Appellant: Shri Gagan Tiwari, Adv
For Respondent: Shri Ashish Porwal, Sr. DR
Hearing: 07.05.2024Pronounced: 10.05.2024

आदेश / O R D E R

Per B.M. Biyani, A.M.:

1.

Feeling aggrieved by appeal-order dated 21.12.2023 passed by learned Commissioner of Income-Tax (Appeals), NFAC, Delhi [“CIT(A)”] which in turn arises out of assessment-order dated 24.09.2021 passed by learned NFAC, Delhi [“AO”] u/s 143(3) read with section 144B of Income-tax Act, 1961 [“the Act”] for Assessment-Year [“AY”] 2019-20, the assessee has filed this appeal.

2.

The background facts leading to present appeal are such that the assessee is a society engaged in imparting education. For AY 2019-20, the assessee filed return on 14.03.2019 declaring a loss of Rs. 5,96,893/-. The Disha Education Society, Raipur case was selected for scrutiny and notices u/s 143(2)/142(1) were issued which were duly complied by assessee. Finally, the AO completed assessment u/s 143(3) vide order dated 24.09.2021. In Para 4 of assessment-order, the AO has noted that assessee was earlier registered u/s 12A and also approved u/s 10(23C)(vi) but the CIT(Exemption), Bhopal [“CIT(E)”] cancelled registration u/s 12A and approval u/s 10(23C)(vi) vide orders dated 14.11.2018 and 05.02.2019 respectively, therefore the assessee filed return in the status of AOP without claiming any exemption u/s 12A or 10(23C)(vi). Thereafter, in next Para 5 to 6 of assessment-order, the AO made an addition of Rs. 22,18,000/- and thereby assessed total income at Rs. 16,21,107/-. Aggrieved, the assessee filed first-appeal before CIT(A) but did not comply with the notices of hearing issued by CIT(A). The CIT(A), therefore, dismissed assessee’s appeal for non-prosecution without adjudicating merit. Now, the assessee has come in this appeal before us.

3.

Ld. AR for assessee made a straightforward submission that the assessee filed next appeals to ITAT, Raipur against the aforesaid orders dated 14.11.2018 and 05.02.2019 passed by CIT(E) cancelling the registration u/s 12A and approval u/s 10(23C)(vi). Those appeals, registered as & 60/RPR/2019 have already been decided by ITAT, Raipur Bench vide order a consolidated dated 08.06.2023, copy of order is filed before us. Ld. AR demonstrated that vide Para No. 11 and 17 of order, the ITAT has set aside the orders dated 14.11.2018 and 05.02.2019 passed by CIT(E) and also directed the CIT(E) to restore assessee’s registration u/s 12A and approval u/s 10(23C)(vi). As a result, the assessee has become entitled to exemption u/s 12AA and approval u/s 10(23C)(vi). In view of this, Ld. AR submitted, the assessee has filed application u/s 154 with the concerned

Disha Education Society, Raipur AO for re-computation of income giving effect to exemption u/s 10(23C)(vi)/12AA and the assessee’s application is pending at AO level. Therefore, Ld. AR prayed, the present case should also be remanded back to the file of AO for consideration afresh. Ld. DR for revenue was fair enough to agree to the prayer made by Ld. AR.

3. In view of above, the present matter is re-stored back to the file of AO for consideration and adjudication afresh.

4.

Resultantly, this appeal is allowed for statistical purpose.

Order pronounced in open court on 10.05.2024

More judgments on Section 144B

All 10,521 judgments and leading authorities on Section 144B →

Recent GST High Court judgments

Search GST case law →