Addl. CIT, Meerut v. M/s. Raj Laxmi Charitable Trust, Meerut

ITA 338/DEL/2010 | 2006-2007
Pronouncement Date: 08-07-2010 | Result: Dismissed

Appeal Details

RSA Number 33820114 RSA 2010
Assessee PAN AAATR4883Q
Bench Delhi
Appeal Number ITA 338/DEL/2010
Duration Of Justice 5 month(s) 17 day(s)
Appellant Addl. CIT, Meerut
Respondent M/s. Raj Laxmi Charitable Trust, Meerut
Appeal Type Income Tax Appeal
Pronouncement Date 08-07-2010
Appeal Filed By Department
Order Result Dismissed
Bench Allotted F
Tribunal Order Date 08-07-2010
Date Of Final Hearing 08-07-2010
Next Hearing Date 08-07-2010
Assessment Year 2006-2007
Appeal Filed On 22-01-2010
Judgment Text
I.T.A. NO. 338 /DEL/2010 1/3 IN THE INCOME TAX APPELLATE TRIBUNAL NEW DELHI BENCH F BEFORE SHRI C. L. SETHI JUDICIAL MEMBER AND SHRI A K GARODIA ACCOUTANT MEMBER ITA NO. 338 /DEL/2010 (ASSESSMENT YEAR 2006-07) ADDL. C I T VS. M/S. RAJ LAXMI CHARITABLE TRUST RANGE 2 MEERUT A-64 SAKET MEERUT. (APPELLANTS) (RESPONDENTS) PAN / GIR NO. AAATR4883Q APPELLANT BY: SMT. BANITA DEVI NAREOM SR. DR RESPONDENT BY: SHRI O P SAPRA ADV. ORDER PER A. K. GARODIA AM: 1. THIS IS THE REVENUES APPEAL DIRECTED AGAINST THE O RDER OF LD. CIT MEERUT DATED 05.11.2009 FOR THE ASSESSMENT YEA R 2006- 07. THE GROUNDS RAISED BY THE REVENUE READ AS UNDE R: 1) WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE C ASE THE CIT(A) ERRED IN DIRECTING THE A.O. TO ASSESS TH E INCOME OF THE TRUST IN THE STATUS OF REGISTERED TRUST WITH OUT TAKING INTO CONSIDERATION THE FACT THE DONATIONS SHOWN BY THE TRUST PROVED BOGUS AND REGISTRATION WITHDRAWN BY CIT VIDE ORDER U/S 12AA(3) DATED 22.02.2008? 2) WHETHER ON THE FACT AND CIRCUMSTANCES OF THE CASE THE CIT(A) WAS JUSTIFIED IN DIRECTING THE A.O. TO ASSES S THE INCOME OF THE TRUST IN THE STATUS OF REGISTERED TRU ST WHEN THE ORDER OF ITAT REGARDING REGISTRATION U/S 12AA IS SU B-JUDICE BEFORE THE HON'BLE HIGH COURT. 3) IN THE FACTS AND CIRCUMSTANCES OF THE CASE THE ORD ER OF THE CIT(A) MAY BE SET ASIDE AND THAT OF THE A.O. RESTOR ED. I.T.A. NO. 338 /DEL/2010 2/3 2. THE BRIEF FACTS OF THE CASE ARE THAT IT IS NOTED BY THE A.O. IN THE ASSESSMENT ORDER THAT A LETTER DATED 22.02.2008 HAS BEEN RECEIVED FROM THE OFFICE OF THE CIT MEERUT WHEREBY IT HAS BEEN INFORMED THAT THE REGISTRATION U/S 12AA GRANTED TO THE ASSESSEE EARLIER HAS BEEN WITHDRAWN. IN THE LIGHT OF THIS L ETTER FROM THE OFFICE OF THE CIT MEERUT THE A.O. HELD THAT THE AS SESSEE IS NOT ELIGIBLE FOR EXEMPTION U/S 11 AND HE ASSESSED THE I NCOME OF THE ASSESSEE TRUST AT RS.48 94 998/- AS AGAINST NIL I NCOME DECLARED BY THE ASSESSEE IN THE RETURN OF INCOME FILED BY IT ON 07.10.2006. 3. BEING AGGRIEVED THE ASSESSEE CARRIED THE MATTER IN APPEAL BEFORE CIT(A). BEFORE CIT(A) IT WAS SUBMITTED THA T THE ASSESSEE HAD GONE IN APPEAL TO THE TRIBUNAL AGAINST THE ORDER OF CIT MEERUT DATED 22.02.2008 U/S 12AA(3) OF THE I. T. ACT WHEREBY HE HAD WITHDRAWN REGISTRATION GRANTED TO TH E ASSESSEE. IT WAS ALSO SUBMITTED THAT THE TRIBUNAL VIDE ORDER- DATED 09.01.2009 IN I.T.A. NO. 923/DEL/2008 HAVE CANCELLE D THIS ORDER OF CIT MEERUT AND ALLOWED THE APPEAL OF THE ASSESSEE. IN VIEW OF THIS TRIBUNAL DECISION IT WAS HELD BY THE CIT(A) THAT THE A.O. IS DIRECTED TO ASSESS THE INCOME OF THE TR UST IN THE STATUS OF REGISTERED TRUST U/S 12AA. NOW THE REVENUE IS IN APPEAL BEFORE US AGAINST THIS DIRECTION OF LD. CIT(A). 4. THE LD. D.R. FOR THE REVENUE SUPPORTED THE ASSESSME NT ORDER WHEREAS IT IS SUBMITTED BY THE LD. A.R. FOR THE ASS ESSEE THAT THE ORDER OF LD. CIT(A) SHOULD BE CONFIRMED BECAUSE EXE MPTION U/S 11 WAS DENIED BY THE A.O. TO THE ASSESSEE ON TH E BASIS OF THE ORDER OF CIT MEERUT U/S 12AA(3) AS PER WHICH THE R EGISTRATION OF THE ASSESSEE U/S 12A HAS BEEN WITHDRAWN BUT SINC E THE TRIBUNAL HAS RESTORED THE REGISTRATION TO THE ASSES SEE NO I.T.A. NO. 338 /DEL/2010 3/3 INTERFERENCE IS CALLED FOR IN THE ORDER OF CIT(A). IT IS SUBMITTED THAT THE COPY OF THE TRIBUNAL DECISION IS AVAILABLE AT PAGES 16- 18 OF THE PAPER BOOK. 5. WE HAVE CONSIDERED RIVAL SUBMISSIONS PERUSED THE M ATERIAL ON RECORD AND HAVE GONE THROUGH THE ORDERS OF AUTHORIT IES BELOW. WE FIND THAT THE A.O. HAS DENIED EXEMPTION TO THE A SSESSEE U/S 11 IN VIEW OF THE ORDER DATED 22.02.2008 PASSED BY CIT MEERUT U/S 12AA(3) AND THIS ORDER OF CIT MEERUT HAS BEEN CANCELLED BY THE TRIBUNAL IN I.T.A. NO. 923/DEL/2008 DATED 09 .01.2009 AND HENCE CIT(A) HAS RIGHTLY DIRECTED THE A.O. TO A SSESS THE INCOME OF THE ASSESSEE TRUST IN THE STATUS OF REGIS TERED TRUST U/S 12AA AND WE DO NOT FIND ANY REASON TO INTERFERE IN THE ORDER OF LD. CIT(A). HENCE WE DECLINE TO INTERFERE IN THE ORDER OF LD. CIT(A). 6. IN THE RESULT THE APPEAL OF THE REVENUE STANDS DIS MISSED. 7. THIS DECISION WAS PRONOUNCED IN THE OPEN COURT ON 0 8.07.2010. SD./- SD./- (C. L. SETHI) (A K GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 08 TH JULY 2010 SP. COPY FORWARDED TO 1. APPELLANT 2. RESPONDENT 3. CIT TRUE COPY: BY ORDER 4. CIT(A) 5. DR DY. REGISTRAR ITAT NEW DELHI