SWAMI RAMANAND TEERTH MARATHWADA INTITUDE OF SOCIO ECONOMIC RESEARCH AND NATIONAL INTEGRATION,PUNE vs. COMMISSIONER OF INCOME-TAX, EXEMPTION, PUNE

This is an appeal filed by the appellant society directed against the order of learned Commissioner of Income Tax (Exemption), Pune (hereinafter referred as “ld.CIT(E)” dated 02.10.2020 passed under Sec.80G(5)(vi) of the Income Tax Act, 1961 (hereinafter referred as “the Act”).

The brief facts of the case are the appellant is a Society duly registered under the Societies Registration Act, 1860 on 16.07.2002. The appellant trust was also registered under Section 12AA of the Income Tax Act w.e.f. 01.04.2006. Originally, the appellant trust was also recognized u/s 80G(5)(vi) of the Act for the period from 01.04.2006 to 31.03.2008 and a fresh application for grant of recognition u/s 80G(5)(vi) of the Act was filed on 02.12.2019 in Form 10G. On receipt of the said application, the ld.CIT(E), issued letter dated 14.01.2020 calling for certain documents / information / clarification on 23.01.2020.

It is the case of the appellant society that it had responded to the notice issued by the ld.CIT(E). However, due to prevailing Covid-19 Pandemic, it could not submit the full details. However, the ld.CIT(E) had rejected the application for grant of recognition on the ground that the application could not be processed as no details were furnished by the appellant society substantiating the genuineness of the activities of the appellant society. Accordingly, the ld.CIT(E) denied the grant of recognition vide order dated 02.10.2020.

Being aggrieved by the order of the ld.CIT(E) denying the recognition under Sec.80G(5)(vi) of the Act, the appellant is in appeal before us in the present appeal.

When the appeal was called on, none appeared on behalf of the assessee.

We heard the ld.CIT-DR. The only issue in the present appeal relates to the grant of recognition u/s 80G(5)(vi) of the Act. The ld.CIT(E) had denied the grant of recognition on the ground that the appellant society had not complied with the notices issued calling for certain documents / information / clarification so as to enable the ld.CIT(E) to satisfy himself as to the genuineness of the activities undertaken by the appellant society. It is a matter of record that the proceedings before ld.CIT(E) had taken place during the pandemic period prevailing in the country. Even the Hon'ble Supreme Court considering the difficulties being faced by the citizens of the country on account of prevailing Covid-19 pandemic, had extended the limitation period prescribed under various statutes. Drawing guidance from spirit of the decision of the Hon'ble Supreme Court, we are of the opinion that the appellant society is prevented by sufficient and reasonable cause to comply with the notice issued by the ld.CIT(E). Therefore, in order to meet the ends of justice, the matter requires remission to the file of ld.CIT(E) for denovo consideration of the application in accordance with the law. We order accordingly. Accordingly, the appeal filed by the assessee is partly allowed for statistical purposes.

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