Case Law Details
Sant Kabir Mahasabha Vs CIT (ITAT Chandigarh)
In a recent development, the Income Tax Appellate Tribunal (ITAT) Chandigarh addressed a crucial aspect of income tax proceedings – the proper service of notice to taxpayers. The case, Sant Kabir Mahasabha vs. CIT, involves the rejection of the assessee’s application for registration under Section 12AB of the Income Tax Act, 1961 (the Act) by the Commissioner of Income Tax (Exemptions), Chandigarh (ld.CIT(E)). This article provides a detailed analysis of ITAT Chandigarh’s order, emphasizing the significance of accurate notice service in income tax matters.
Detailed Analysis
1. Background: The appellant, Sant Kabir Mahasabha, challenged the action of the ld.CIT(E) in rejecting its application for registration under Section 12AB of the Act for the assessment year 2022-23.
2. Ex-Parte Order: The appellant’s counsel highlighted that the ld.CIT(E) had passed an ex-parte order, summarily rejecting the application without affording the appellant an opportunity to present its case. It was pointed out that no notice of the hearing date was served on the appellant, either through physical means or electronic communication. Allegedly, the notice of the hearing date was uploaded on the Income Tax Portal, and the appellant was unaware of this development. No formal notice of the hearing date was issued to the appellant.
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