Anjuman-E-Fakhri Dawoodi Bohra Jamat, Dahod v. The CIT-III,, Baroda

ITA 2986/AHD/2009 | misc
Pronouncement Date: 06-01-2010 | Result: Allowed

Appeal Details

RSA Number 298620514 RSA 2009
Assessee PAN AACTA3521B
Bench Ahmedabad
Appeal Number ITA 2986/AHD/2009
Duration Of Justice 2 month(s)
Appellant Anjuman-E-Fakhri Dawoodi Bohra Jamat, Dahod
Respondent The CIT-III,, Baroda
Appeal Type Income Tax Appeal
Pronouncement Date 06-01-2010
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted A
Tribunal Order Date 06-01-2010
Assessment Year misc
Appeal Filed On 06-11-2009
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD A BENCH AHMEDABAD BEFORE S/SHRI BHAVNESH SAINI JM AND D.C.AGRAWAL A M ITA NO.2986 /AHD/2009 ANJUMAN-E-FAKHRI DAWOODI BOHRA JAMAT SAIFEE MOHALLA TRUST SAIFEE MASJID SAIFEE MOHALLA DAHOD-389151 VS COMMISSIONER OF INCOME-TAX-III BARODA. PAN NO.AAACTA3521B (APPELLANT) (RESPONDENT) ITA NO.2987/AHD/2009 ANJUMAN-E-TAIYABI DAWOOD BZZY MOHALLA TRUST TAHERI HALL EZZY MOHALLA NR. BONE MILL GODI ROAD DAHOD. VS COMMISSIONER OF INCOME-TAX-III BARODA. PAN NO.AAATA3511C (APPELLANT) (RESPONDENT) AND ITA NO.2988/AHD/2009 KANZUL IMAN WAQF MODASA MOHAMMEDI CHOWK GHANCHIWADA MODASA. VS DIRECTOR OF INCOME-TAX (EXEMPTION) AHMEDABAD. PAN NO.AAIFK6799A (APPELLANT) (RESPONDENT) APPELLANTS BY SMT. A.N. SHAH & HITESH S. PATEL ARS RESPONDENT BY SHRI P. ORAM SR. DR O R D E R PER BHAVNESH SAINI JUDICIAL MEMBER : ALL THE APPEALS BY DIFFERENT ASSESSEES ARE DIRECTED AGAINST DIFFERENT ORDERS OF THE CIT-III BARODA DATED 7 TH SEPTEMBER 2009 DATED 10 TH SEPTEMBER 2009 AND THE DIRECTOR OF INCOME TAX (EXE MPTION) AHMEDABAD DATED 12 TH OCTOBER 2009 CHALLENGING THE ORDERS U/S 12AA OF ITA NO.2986 TO 2988/AHD/2009 2 THE INCOME TAX ACT WHEREBY THE AUTHORITIES BELOW HA VE REJECTED THE REGISTRATION APPLICATION U/S 12AA OF THE INCOME TAX ACT. 2. THE LEARNED COMMISSIONER AND THE DIRECTOR OF INC OME TAX (EXEMPTION) VIDE IMPUGNED ORDERS REJECTED THE REGIS TRATION APPLICATION U/S 12AA OF THE INCOME TAX ACT ON THE REASONS THAT THE CASES OF THE ASSESSEES ARE HIT BY PROVISIONS OF SECTION13(1)(A) & 13(1)(B) OF THE INCOME TAX ACT. 3. THE LEARNED COUNSELS FOR THE ASSESSEES AT THE OU TSET SUBMITTED THAT THE ISSUE IS NOW COVERED IN FAVOUR OF BOTH THE ASSESSEES BY THE ORDER OF THE ITAT INDORE BENCH IN THE CASE OF DAWOODI BO HRA JAMAT AND OTHERS VS CIT 317 ITR (AT) 133 (INDORE) IN WHICH IT WAS HELD AS UNDER: HELD ALLOWING THE APPEALS THAT IN THE ABSENCE OF ANY SPECIFIC FINDING WITH REGARD TO THE AMOUNT SPENT BY A FOR THE TRUST THERE WAS NO JUSTIFICATION FOR INVOKING THE P ROVISIONS OF SECTION 13(1)( C ) OF THE ACT AGAINST THE TRUST. TH E ASSESSEE WAS A PUBLIC RELIGIOUS TRUST WITH ITS OBJECTS BEING SOLELY RELIGIOUS IN NATURE AND THE REFUSAL TO GRANT REGIS TRATION ON THE GROUND THAT SECTION 13(1) (B) AND 13(1) ( C ) OF TH E ACT WERE VIOLAT4ED WAS NOT JUSTIFIED WHEN THE COMMISSIONER HAD NOT DOUBTED EITHER THE NATURE OF ITS OBJECTS OR GENUINE NESS OF ITS ACTIVITIES. 4. THE LEARNED COUNSELS FOR THE ASSESSEES ALSO SUBM ITTED THAT THE ABOVE VIEW OF THE TRIBUNAL IS CONFIRMED BY THE HON BLE MADHYA PRADESH HIGH COURT IN THE CASE OF CIT VS DAWOODI BOHRA JAMA T 317 ITR 342 (MP) IN WHICH THE HONBLE MADHYA PRADESH HIGH COURT HAS HELD AS UNDER: HELD DISMISSING THE APPEAL (I) THAT THE TRIBUNAL AFTER ANALYZING THE OBJECTS OF THE TRUST HAD HELD THAT TH E ASSESSEE WAS A PUBLIC RELIGIOUS TRUST AND ITS OBJECTS WERE S OLELY RELIGIOUS IN NATURE. THE REVENUE HAD NEITHER ASSAIL ED THE FINDING AS PERVERSE NOR HAD THE REVENUE BEEN ABLE T O POINT OUT ANY PERVERSITY IN THE FINDING. THEREFORE THERE WAS NO GOOD REASON TO INTERFERE WITH SUCH FINDING OF FACT. ITA NO.2986 TO 2988/AHD/2009 3 (II) THAT SECTION 13(1) (B) IS ATTRACTED IN THE CAS E OF INCOME OF THE TRUST FOR CHARITABLE PURPOSE OF A COMMUNITY OR CASTE WHICH WAS NOT THE CASE HERE. THUS THE TRIBUNAL RIG HTLY DECIDED THE ISSUE OF APPLICABILITY OF SECTION 13(1) (B) HOLDING THAT SINCE THE ASSESSEE WAS A RELIGIOUS TRUST THE PROVISIONS OF SECTION 13(1)(B) WREN TO APPLICABLE BECAUSE THEY WE RE APPLICABLE IN THE CASE OF THE TRUST ESTABLISHED FOR CHARITABLE PURPOSES. 5. ON THE OTHER HAND THE LEARNED DR RELIED UPON TH E ORDERS OF THE LEARNED CIT AND THE DIRECTOR OF INCOME TAX (EXEMPT ION). 6. ON CONSIDERATION OF THE ABOVE FACTS WE ARE OF T HE VIEW THAT THE ISSUE IS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE BY THE ORDER OF THE ITAT INDORE BENCH IN THE CASE OF DAWOODI BOHRA JAM AT AND OTHERS VS. CIT (SUPRA) WHICH IS CONFIRMED BY THE HONBLE MADHY A PRADESH HIGH COURT IN THE CASE OF CIT(A) VS DAWOODI BOHRA JAMAT (SUPRA). BY FOLLOWING THE SAME REASON FOR DECISION WE SET ASIDE THE IMPU GNED ORDERS AND DIRECT THE LEARNED CIT AND THE DIRECTOR OF INCOME T AX (EXEMPTION) TO GRANT REGISTRATION TO THE ASSESSES U/S 12AA OF THE INCOME TAX ACT IN ACCORDANCE WITH LAW WITHIN ONE MONTH FROM THE DATE OF RECEIPT OF THIS ORDER. 7. AS A RESULT ALL THE APPEALS OF THE ASSESSEES AR E ALLOWED. ORDER PRONOUNCED ON 6 TH JANUARY 2010. SD/- SD/- (D.C.AGRAWAL) ACOUNTANT MEMBER (BHAVNESH SAINI) JUDICIAL MEMBER DATE : 6.1.2010 MAHATA/- ITA NO.2986 TO 2988/AHD/2009 4 COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE CIT(A) CONCERNED 5. THE DR ITAT AHMEDABAD 6. GUARD FILE BY ORDER DY. REGISTRAR ITAT AHMEDABAD