ORDNANCE FACTORIES WOMENS WELFARE ASSOCIATION,KOLKATA vs. COMMISSIONER OF INCOME TAX (EXEMPTIONS), INCOME TAX, KOLKATA

| आयकर अपील"य अ"धकरण "यायपीठ, कोलकाता | | | | IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, KOLKATA BEFORE SHRI RAJPAL YADAV, HON’BLE VICE PRESIDENT & DR. MANISH BORAD, HON’BLE ACCOUNTANT MEMBER I.T.A. No. 569/Kol/2024 Assessment Year: 2022-23 Ordnance Factories Womens Commissioner of Income Tax Welfare Association, Kolkata Vs (Exemption), Kolkata 10A, Auckland Road West Bengal - 700001 [PAN: AAAAO0121B] अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee by : Shri Arnab Chakraborty, C.A. Revenue by : Shri Abhijit Kundu, CIT, D/R सुनवाई क" तार"ख/Date of Hearing : 16/05/2024 घोषणा क" तार"ख/Date of Pronouncement : 01/07/2024 आदेश/O R D E R PER DR. MANISH BORAD, ACCOUNTANT MEMBER: The instant appeal is directed at the instance of the assessee against the order of the learned Commissioner of Income Tax, Appeal, Addl/JCIT(A) -10 Mumbai [hereinafter the “ld. CIT(A)”] dt. 18/01/2024, passed u/s 250 of the Income Tax Act, 1961 (“the Act”) for the Assessment Year 2022-23. 2. The solitary grievance of the assessee is that exemption of Section 11 of the Act was not granted solely on the ground that the assessee failed to furnish audit report in Form No. 10B within prescribed time limit. 3. At the outset, the ld. Counsel for the assessee stated that admittedly there was a delay in filing of audit report in Form 10B within the prescribed time limit. The assessee moved an application u/s 119(2)(b) of the Act to ld. Commissioner of Income Tax (Exemption) for I.T.A. No. 569/Kol/2024 Assessment Year: 2022-23 Ordnance Factories Womens Welfare Association, Kolkata 2 condonation of delay in filing audit report. Vide order dt. 30/04/2024, the delay of 132 days in filing audit report in Form 10B for Assessment Year 2022-23 has been condoned. Prayer was thus made that since the delay in filing the audit report has been condoned, there being no adverse observation of the lower authorities about the correctness of the claim made u/s 11 of the Act, the assessee be allowed the benefit of exemption u/s 11 of the Act. On the other hand, the ld. D/R failed to controvert the contention of the ld. Counsel for the assessee. 4. We have heard rival contentions and perused the material placed before us. We observe that the assessee is a registered charitable society in West Bengal, extensively involved in running Kindergarten and Schools across various locations. The assessee has been granted registration u/s 12A of the Act vide Form 10AB dt. 21/07/2023 for the year under appeal. The assessee filed its return of income on 23/11/2022 claiming exemption u/s 11 of the Act for the amount applied for charitable purpose during the year. However, in the return processed u/s 143(1)(a) of the Act, exemption u/s 11 of the Act was denied on the ground that audit report on Form No. 10AB is filed belatedly. Further, ld. Counsel for the assessee challenged the adjustment made by the CPC in its order u/s 143(1)(a) of the Act before the ld. CIT(A) but failed to get relief since the audit report in Form 10B was not e-filed within due date. However, subsequent to the passing of the impugned order on 18/01/2024, assessee’s application for condonation of delay in filing Form 10B for Assessment Year 2022-23, dt. 11/04/2023 (filed prior to the passing of impugned order) has been allowed and vide order dt.

I.T.A. No. 569/Kol/2024 Assessment Year: 2022-23 Ordnance Factories Womens Welfare Association, Kolkata 3

30/04/2024, delay of 132 days in filing Form 10B for Assessment Year 2022-23 has been condoned. Since the only ground on which the exemption u/s 11 of the Act has been denied was on account of delay of furnishing Form 10B and there is no dispute about the activity of the assessee being carried out for charitable purposes and the amount has been applied for the object for which it is registered u/s 12A of the Act, in our considered view, since delay in filing form 10B has been condoned assessee is entitled to the benefit of deduction u/s 11 of the Act as claimed in the Income Tax return filed for A.Y. 2022-23. Accordingly, the sole ground raised by the assessee is allowed. 5. In the result, appeal of the assessee is allowed. Order pronounced in the Court on 1st July, 2024 at Kolkata (RAJPAL YADAV) ACCOUNTANT MEMBER Kolkata, Dated 01/07/2024 *SC SrPs *SC SrPs *SC SrPs *SC SrPs आदेश क" ""त"ल"प अ"े"षत/Copy of the Order forwarded to : 1. अपीलाथ! / The Appellant 2. ""यथ! / The Respondent 3. संबं&धत आयकर आयु(त / Concerned Pr. CIT 4. आयकर आयु(त ( अपील ) / The CIT(A)- 5. "वभागीय ""त"न&ध ,आयकर अपीलीय अिधकरण, कोलकाता/DR,ITAT, Kolkata, 6. गाड. फाई/ Guard file.

आदेशानुसार/ BY ORDER,