Jogniya Mata Shaktipith Prabandh AVM Viikas Sansthan Vs CIT (Exemption) (ITAT Jodhpur)
The assessee, Jogniya Mata Shaktipith Prabandh AVM Viikas Sansthan, filed an appeal against the order of the CIT (Exemption), Jaipur dated 17 March 2021 concerning its application for registration under section 12AA of the Income-tax Act, 1961, for assessment year 2021-22.
The CIT (Exemption) rejected the assessee’s application under section 12AA on the ground that the assessee had failed to furnish the required details and documents establishing the charitable nature and genuineness of its activities. The CIT(E) observed that the assessee had not submitted sufficient information to establish that it was actually carrying out activities in accordance with its stated objects and at the premises mentioned in Form 10A. The CIT(E) also recorded that sufficient opportunities had been provided to the applicant, but the required details and documents were not furnished.
Before the ITAT Jodhpur, none appeared on behalf of the assessee. The Departmental Representative relied upon the order of the CIT(E).
The Tribunal noted that although the CIT(E) had provided sufficient opportunity to the assessee, the assessee had failed to produce the documents concerning its claim for registration under section 12AA. However, considering that the assessee was not present before the Tribunal to contest its case, the Bench considered it appropriate to provide one further opportunity to the assessee to establish its claim on merits.
Accordingly, the Tribunal restored the matter to the file of the CIT(E) with a direction to decide the application afresh on merits after providing one more opportunity to the assessee to submit the desired documents and details concerning registration of the trust under section 12AA.
The appeal was therefore allowed for statistical purposes.
FULL TEXT OF THE ORDER OF ITAT JODHPUR
The assessee has filed an appeal against the order of the ld..CIT (Exemption), Jaipur dated 17-03-2021 for the assessment year 2021-22 in the matter of Section 12AA of the Act..
2.1 None appeared on behalf of the assessee on the date of hearing. However, the ld. DR relied upon the order of the ld. CIT(E).
2.2 After hearing the ld. DR and perusing the materials available on record, it is noted that the ld. CIT(E) had dismissed the appeal of the assessee by observing as under:-
‘’5. To decide the matter of seeking registration u/s 12AA, the genuineness of the activities being undertaken by the applicant are also to be examined. The applicant has not submitted any such details and other information as mentioned above. Therefore, it is not known that the applicant is actually carrying out the activities as per its objects ad at the premises mentioned by it in Form 10A. Thus the charitable nature and genuineness of the activities of the applicant could not be established.
6. Sufficient opportunity has been provided to the applicant to produce details and documents in support of his claim for registration u/s 12AA of the Income Tax Act but applicant have failed to do so. In the light of the above facts, the application seeking registration u/s 12AA is hereby rejected and filed.’’
Thus the Bench observed that the assessee has not submitted the documents as to the claim of registration u/s 12AA of the Act. However, the ld. CIT(E) has provided sufficient opportunity to produce the details and documents concerning the issue in question. Since the assessee is not present on the date of hearing to argue its case for the reason best known to him, therefore, the Bench feels that one more opportunity should be given to the assessee to contest its case before the ld. CIT(E) on merit by submitting the desired documents / details as to the Registration of the Trust u/s 12AA of the Acts. Hence, the appeal of the assessee is restored back to the file of the ld. CIT(E) to decide it afresh on merit by providing one more opportunity to contest the case. Thus the appeal of the assessee is allowed for statistical purposes.
3. In the result, the appeal of the assessee is allowed for statistical purposes as pronounced in the open Court on 3-11-2022.
