ROTARY CLUB OF JADAVPUR TRUST ,KOLKATA vs. CIT(E), KOLKATA. , KOLKATA

The present appeal is directed at the instance of the assessee against the order of the Commissioner of Income Tax (Exemption), Kolkata (hereinafter the “ld. CIT(E)”) dt. 28/08/2023, rejecting the Registration under 80G(5)(iii) of the Income Tax Act, 1961 (“the Act”).

At the outset, the ld. Counsel for the assessee submitted that, the sole ground on which the ld. CIT(E) has rejected the grant of registration to the assessee trust, is that the assessee did not comply with the hearing notices fixing the hearings on 08/08/2023 and 22/08/2023 and neither the assessee file the necessary documents as called for by the ld. CIT(E). Before us, the ld. Counsel for the assessee submitted that, the Secretary of the assessee trust, who was entrusted pursue the matter of registration was down with enteric fever and was on complete bed rest on the advise of the attending physician. Therefore, he could not access Assessment Year: 2023-24 Rotary Club of Jadavpur Trust the e-mail on which the notices of hearing were sent resulting to non- compliance. He further stated that, the assessee did not have any malafide intention to evade the proceedings and at this stage can only pray before the Tribunal for restoring the matter to the ld. CIT(A) for fresh adjudication after considering the issue on merits. The ld. D/R though not leaving his grounds, could not controvert this factual position and did not oppose to this contention of the assessee.

We have heard rival contentions and find that the assessee had a reasonable cause for not complying before the ld. CIT(E), which he has explained before this Tribunal. Under these given facts and circumstances, we deem it fit and proper to set aside the issue to the file of the ld. CIT(E) for fresh adjudication, after giving the assessee sufficient opportunity of being heard. The assessee is directed to file all the documents/evidences in support of its claims. The ld. CIT(E) shall pass a speaking order after considering the same.

In the result, appeal of the assessee is allowed for statistical purposes.