DCIT Vs B P Poddar Foundation For Education (ITAT Kolkata)
ITAT Kolkata held that denial of exemption u/s. 10(23C)(via) due to inadvertent mistake of claiming exemption under section 12A instead of 10(23C)(via) is not justifiable. Accordingly, exemption granted u/s. 10(23C)(via) as requisite Form 10BB already filed.
Facts- The Respondent is a Charitable Trust and was duly registered u/s. 12A of the Income Tax Act, 1961. For the year under appeal being the A.Y. 2022-23, the trust also obtained provisional approval u/s. 10(23C)(via) vide Form 10AC dated 30/09/2021 for A.V.s 2022-23 to 2024-25. The Assesee-Trust for the said A.Y.2022-23 filed its ROI on 04/11/2022 but while preparing its Income Tax Return and the related documents for the said A.Y. 2022-23, the office of the Trust inadvertently continued to claim its tax exemption u/s 11/12A as against the now applicable section 10(23C)(via).
The present appeal has been filed by the department against order of CIT(A) mainly contesting that CIT(A) has erred in accepting the inadvertent mistake committed by the Assessee Trust and allowing the full exemption u/s 10(23C)(via) as against the section 12A as wrongly claimed by the Assesee.
Conclusion- Held that the revenue has not been able to point out any specific error in the order of the ld. JCIT(A)-9, Mumbai. The assessee is entitled to the benefit of Section 10(23C)(via) of the Act and the requisite Form 10BB has also been filed. The provisional approval under Section 10(23C)(via) of the Act is also available with the assessee for the assessment years 2022-2023 & 2024-2025 vide an order dated 30.09.2021. This being so, as no error has been pointed out by the revenue in the order passed by the ld. JCIT(A)-9, Mumbai in the case of the assessee, the appeal filed by the revenue stands dismissed.
