SANT SHIROMANI ICCHA PURTI SHRI BALAJI CHARITABLE TRUST,BALAJI COLONY, JAKHAL ROAD vs. CIT (EXEMPTION), CHANDIGARH, AAYAKAR BHAWAN

The assessee in this appeal has contested the action of the ld. CIT(E) in rejecting 2. the application of the assessee for registration u/s 80G(5) of the Income Tax Act, 1961 (in short 'the Act').

At the outset, the Id. Counsel for the assessee has invited our attention to the impugned order of the Id. CIT(E) to submit that the same is an ex-parte order. He has submitted that the ld. CIT(E) has summarily rejected the application of the assessee without giving an opportunity of hearing to the assessee to present its case. He has submitted that no notice of date of hearing was served by the ld. CIT(E), either through physical mode, through e-mail or registered post etc. That the notice of date of hearing was allegedly uploaded on Income Tax Portal and the assessee was not aware of uploading of any such notice regarding date of hearing. Referring to Rule 127(2)(b), it was submitted that for communication delivered or transmitted electronically, it is essential that the same be addressed at the email address of the assessee and which has not happened in the instant case. It was accordingly submitted that no service of notice was ever affected on the assessee and therefore, in interest of justice, the assessee be allowed an opportunity to represent its case and the matter be remanded to the file of ld CIT(E) to decide the same afresh after providing opportunity to the assessee.

We have heard the rival contentions and purused the material available on record. Merely uploading of notice about the scheduled date of hearing on the Income Tax Portal is not an effective service of notice as per the provisions of Section 282 of the Income Tax Act read with Rule 127(2)(b) of Income tax Rules. The same is hereby set aside with a direction to the ld. CIT(E) to decide the appeal of the assessee afresh after giving proper and adequate opportunity to the assessee to present its case. The Id. CIT (E) will serve notice of hearing on the assessee through physical mode as well as through electronic mode on the email address provided by the assessee. The assessee will participate in the proceedings and submit necessary information and documentation as called for and as advised.

The appeal of the assessee is treated as allowed for statistical purposes.