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Income Tax Appellate Tribunal, “B” BENCH KOLKATA
Before: Shri Sanjay Garg & Rajesh Kumar
Shree Manav Seva Trust...………………………… ........................……Appellant 151/A, Cotton Street, Kolkata- 700007. [PAN: AAFTS4923F] vs. CIT(Exemption), Kolkata..................…................…........……...…..…..Respondent Appearances by: None appeared on behalf of the appellant. Shri Abhijit Kundu, CIT-DR, appeared on behalf of the Respondent. Date of concluding the hearing : July 23, 2024 Date of pronouncing the order : July 26, 2024 आदेश / ORDER संजय गग�, �या�यक सद�य �वारा / Per Sanjay Garg, Judicial Member: The present appeal has been preferred by the appellant-trust against the order dated 25.08.2023 of the Commissioner of Income Tax (Exemption), Kolkata [hereinafter referred to as ‘CIT(E)’].
2. No one has put in appearance on behalf of the appellant-trust despite notice, therefore, we proceed to decide the appeal after hearing the ld. DR and perusing the records.
The appellant-trust is aggrieved by the action of the CIT(E) in dismissing the application of the appellant-trust for registration u/s 12A(1)(ac)(iii) of the Income Tax Act (hereinafter referred to as the ‘Act’). The ld. CIT(E) has dismissed the application of the appellant-trust for want of prosecution. Shree Manav Seva Trust 4. The following written submissions have made by the appellant- trust for non-compliance of the notice/directions issued by the ld. CIT(E):
“1. That the application for registration u/s 12A(1)(ac)(ii) of the Income Tax Act was filed on 31.03.2023 and the same was rejected by the Hon’ble Commissioner of Income Tax (Exemption), Kolkata vide an order dated on 25.08.2023.
That the time for filing of the appeal before the Tribunal expired on 23.10.2023.
3. That the Trust engaged the services of Mr Arindam Pal, an accountant, for the purpose of handling accounts and income tax matters of the trust.
That Mr Arindam Pal was entrusted with the responsibility of ensuring the accurate preparation and timely submission of income tax returns and other income tax returns and other income tax compliances.
5. That the trust relied on Mr Arindam Pal to comply all requirements and obligations related to application of trust and assessment 6. That as we trusted Mr Arindam Pal, he was in full control of income tax login id and password and all compliance related matters.
That it came to our knowledge that there was negligence on the part of Mr Arindam Pal, which led to non-compliance during proceedings u/s 12A(1)ac) of the Income Tax Act, 1961 and that even the rejection of application of trust was not even communicated to us.
Only recently, when the said accountant left the Job and new accountant was appointed, we came to know that any compliance was not made by him at the time of assessment for application of registration and not filed the appeal before the Hon'ble ITAT.
Considering above circumstances, the delay in the present case as the circumstances were beyond the control of the assessee trust.”
Considering the above submissions, in our view, interests of justice will be well served if the appellant-trust is given an opportunity to present its case before the CIT(E). Therefore, the impugned order of the ld. CIT(E) is set aside and the matter is restored to the file of the CIT(E) decision afresh. Needless to say that the ld. CIT(E) will give proper opportunity to the appellant-trust to present its case.
Shree Manav Seva Trust 4. In the result, the appeal of the appellant-trust is treated as allowed for statistical purposes.