KOLKATA SWASTHYA SANKALP,KOLKATA vs. CIT(EXEMPTION), KOLKATA

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ITA 707/KOL/2024Status: DisposedITAT Kolkata08 July 2024Bench: Dr. MANISH BORAD, ACCOUNTANT MEMBER SHRI PRADIP KUMAR CHOUBEY (Judicial Member)6 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal condoned the delay in filing one appeal and, noting a subsequent CBDT circular extending the due date for Form 10AB to 30.06.2024, restored all matters to the CIT(Exemption). The CIT(Exemption) was directed to admit the applications and decide them on merits.

What were the facts?

The appeals concerned the rejection of applications for approval under Section 80G(5)(iii) of the Income Tax Act, filed on Form 10AB. The CIT(Exemption) rejected these applications as not maintainable because they were filed after the extended due date.

What were the issues?

Whether applications for approval under Section 80G(5)(iii) filed after the initial extended due date but before a subsequent extended due date are maintainable.

Which sections of the Income-tax Act were involved?

Section 80G(5)(iii)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “B” BENCH KOLKATA

Before: Dr. MANISH BORADSHRI PRADIP KUMAR CHOUBEY

For Respondent: Shri I. Jamir, CIT DR

Heard together (3 matters)

I.T.A. No. 350/Kol/2024
I.T.A. No. 716/Kol/2024
I.T.A. No. 707/Kol/2024

Read from the judgment's own cause title. This page is filed under one of them.

Per Dr. Manish Borad, Accountant Member:

1.

In the captioned appeals ITA No. 716/Kol/2024 and ITA No. 707/Kol/2024 are directed are against the separate order of Ld. Commissioner of Income Tax (Exemption) (for short ‘the CIT(E) dated 20/07/2023, 15/03/2024 and 05/03/2024 respectively.

2.

Registry has pointed out that ITA No. 750/Kol/2024 is time barred by 156 days. Petition along with affidavit has been filed giving reasons for the said delay and prayer made for condonation of the said delay. Contents of the affidavit indicate that the president of the Assessee Society resigned from his post and as he only was looking after the taxation and appellate work of the Society, it was only when that the governing body meeting was held on 09.02.2024 that this fact of none filing of appeal before this Tribunal came to the knowledge. We find sufficient force in the contentions made in the affidavit and are of the view that the assessee had reasonable cause which prevented it from filing the appeal within the prescribed time limit. Though the Ld. DR I.T.A. No.350/Kol/2024 I.T.A. No.707/Kol/2024 opposed to the admission of the appeal, however, in the interest of justice we condone the delay of 156 days and admit the appeal filed objection. 3. Since the issue raised in all these appeals are common and were heard on the same day these appeals are being disposed of by this common order. 4. On perusal of the grounds raised

in all these appeals, the common grievance is that the Ld. CIT(Exemption ) has rejected the application filed on Form 10AB only on the ground of being not maintainable as the application have been filed after the extended due date issued by the CBDT vide order dated 24/05/2023.

5. At the outset, Ld. Counsel for the Assessee(s) stated that recently a circular has been issued by the Central Board of Direct Taxes (CBDT) on 25/04/2024 wherein due date for filing Form 10AB has been further extended up to 30/06/2024. It is prayed that since the respective application filed before the Ld. CIT(Exemption) are well within the extended time limit of 30/06/2024, the matter may be restored to the file of CIT(Exemption) for admitting the application and decide the same on merit of the case. On the other hand, the Ld. Departmental Representative though supported the order of the authorities but was fair enough to accept that since due date has been extended up to 30/06/2024 Assessee’s application on Form 10AB can be admitted for adjudication.

6. We have heard the rival submission and perused the material before us. We notice that in the case of the Children’s Little Theatre, (ITA 350/Kol/2024), Kolkata Swasthya Sankalp (ITA No. 707/Kol/2024) and M/s Uttaran (ITA 716/Ko//2024), the application on Form 10AB for final approval u/s 80G(5)(iii) of the Act was filed on 23/01/2023, 28/01/2023 and 30/09/2023 respectively. The Ld. CIT(Exemption) did not admit the said applications (referred supra) treating them as not maintainable because they were filed after extended due I.T.A. No.350/Kol/2024 I.T.A. No.716/Kol/2024 I.T.A. No.707/Kol/2024 date of 30.09.2022. Before us, the copy of recent circular issued by CBDT dated 25/04/2024 has been placed before us by virtue of which CBDT has extended due date for fling Form No. 10A/10B up to 30.06.2024.

8.

Since in all these 3 appeals the applications on From 10AB for approval u/s 80G(5)(iii) of the Act, have been filed prior to 30.06.2024, we find force in the contentions of respective Ld. Counsel for the Assessee and restore the matters back to the file of Ld. CIT(Exemption) with the direction to admit the applications filed on Form 10AB filed by the respective assessees and carry out the necessary adjudication on merits in accordance with law and grant the approval u/s 80G(5)(iii) of the Act if the assessee(s) is otherwise found eligible. Needless to mention the proper opportunity of being heard should be provided to the Assessee’s.

9.

In the result, all the three appeals of the different assessee(s) are allowed for statistical purposes.

Kolkata, the 8th July, 2024.

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