Indo Swedish Rheumatology Foundation Balasore v. Cit Exemptions Hyderabad

ITA 381/CTK/2016 | 2016-2017
Pronouncement Date: 11-12-2017 | Result: Allowed

Appeal Details

Note: Please login to view full details
RSA Number 38122114 RSA 2016
Assessee PAN xxxxxxxxxxx
Bench xxxxxxxxxxx
Appeal Number xxxxxxxxxxx
Duration Of Justice 1 year(s) 1 month(s) 15 day(s)
Appellant xxxxxxxxxxx
Respondent xxxxxxxxxxx
Appeal Type Income Tax Appeal
Pronouncement Date 11-12-2017
Appeal Filed By Assessee
Tags No record found
Order Result Allowed
Bench Allotted DB
Tribunal Order Date 11-12-2017
Assessment Year 2016-2017
Appeal Filed On 26-10-2016
Judgment Text
In The Income Tax Appellate Tribunal Cuttack Bench Cuttack Before Shri N S Saini Am Shri Pav An Kumar Gadale Jm Income Tax Appeal No 354 381 Ctk 20 1 6 A Ssessment Year 20 16 201 7 Indo Swedish Rh Eumatology Foundation At Po Bada Sindhia Via Motiganj District Balasore 756003 Vs Cit Exemptions Hyderabad Pan Gir No A A Bti 1523 K Appellant Respondent Assessee By Shri P K Mishra Ar Revenue By Shri S K Bandyopadhyay Dr Date Of Hearing 11 12 201 7 Date Of Pronouncement 11 12 201 7 O R D E R Per Shri N S Saini A M Th Ese Are The Appe Als Filed By The Assessee Against The Order S Of The Cit E Hyderabad Both Dated 23 05 2016 2 The Grievance In Both The Appeals Of The Assessee Is That The Cit E Was Not Justified In Refusing To Grant Registration U S 12 Aa And Approval U S 80 G Of The I T Act To The Assessee Trust 3 Brief Facts Of The Case Are That The Cit E Refused To Grant Registration U S 12 Aa Of The Act To The Assessee Trust On Two Grounds I The Amendment Clause In The Trust Deed Does Not Specifically Stipulate That The Amend Ments Shall Be Carried Out Only With The Prior Approval Of The Cit E Ii The Investment Clause Has Not Been Incorporated In The Trust Deed Which Indicates That The There Is No Intention On The Part Of The Trust To Invest The Funds In The Modes Specifie D Under The Provisions Of Section 13 1 D R W S 11 5 Of The I T Act 4 With Regard To The First Objection Of The Cit E That The Amendment Clause In The Trust Deed Does Not Specifically Provide That The Amendments Ita No 354 381 Ctk 201 6 2 Shall Be Carried Out Only With The Pri Or Approval Of The Cit E We F Ind That The Issue Is Covered In Favour Of The Assessee By The Decision Of This Bench Of The Tribunal In The Case Of Balasore Law College Vs Cit E Ita No 459 Ctk 2015 Order Dated 15 02 2017 Wherein It Was Held That Th E Scope Of Enquiry Contemplated U S 12 A Of The Act Is Limited To The Extent Of Commissioner Getting Himself Satisfied About Object Of The Trust And The Genuineness Of Its Activities So As To Grant Or Refuse The Registration U S 12 A Of The Act A Perusal Of The Impugned Order Of The Ld Dit Exemptions Shows That He Has Not Recorded Any Adverse Comment Or Dis Satisfaction About The Object Of Trust Or Genuineness Of The Trust Activities He Has Refused To Grant The Registration U S 12 A Of The Act On The Groun D That Its Trust Deed Does Not Contain Dissolution Clause In Our Opinion The Ld Dit Exemptions Thus Has Clearly Gone Beyond The Scope Of Enquiry Contemplated U S 12 A Of The Act And Has Refused To Grant The Registration U S 12 A Of The Act To The Asses See Trust On A Totally Irrelevant Ground Without Pointing Out As To How He W As N Ot Satisfied Either About The Object Of The Trust Or The Genuineness Of Its Activities 5 We Find That In The Present Case Also The Cit E Has Refused To Grant Registration U S 12 Aa Of The Act To The Assessee Trust On The Ground That Amendment Clause Does Not Provide For Prior Approval Of The Cit E Before Carrying Out The Amendment In The Trust Deed We Find That There Is No Such Provision In The Act For Refusal To Grant Regis Tration To The Assessee Trust Thus The Refusal To Grant Registration On This Ground Is An Irrelevant Ground And Hence Not Sustainable Ita No 354 381 Ctk 201 6 3 6 With Regard To Objection Regarding Investment Clause Stating That There Was No Intention On The Part Of The Assess Ee Trust To Invest The Funds In The Modes Specified Under The Provisions Of Section 13 1 D R W S 11 5 Of The Act And That No Investment Clause Was Incorporated In The Trust Deed We Are Of The Considered View That The Income Tax Act Prohibits Investmen T In Violation Of Section 13 1 D 11 5 Of The Act And The Trust Deed Prohibits Such An Investment By The Assessee Trust And Therefore Refusal To Grant Registration To The Assessee Trust On This Count Also Is An Irrelevant Ground Hence We Set Aside The Order Of Cit E On This Ground Also We Therefore Direct The Cit E To Grant Registration U S 12 Aa Of The Act To The Assessee Trust 7 With Regard To Not Granting Approval U S 80 G Of The Act We Find That The Reason Given By The Cit E That He Has Re Fused To Grant Registration U S 12 Aa Of The Act Therefore Consequently He Had Not Grant Ed Approval U S 80 G Of The Act To The Assessee Trust As We Have Granted Registration U S 12 Aa Of The Act To The Assessee Trust We Set Aside The Order Of Cit E On Hi S Count And Also Direct The Cit E To Grant Approval U S 80 G Of The Act To The Assessee Trust And Allow The Appeal Of The Assessee 8 In The Result Both The Appeals Of The Assessee Are Allowed Order Pronounced In The Open Court On 11 1 2 201 7 Sd Pavan Kumar Gadale Sd N S Saini Judicial Member Accountant Member Cuttack Dated 11 1 2 201 7 Pkm Senior Private Secretary Ita No 354 381 Ctk 201 6 4 Copy O F The Order Forwarded To By Order Senior Private Secretary Itat Cuttack 1 The Appellant Indo Swedish Rh Eumatology Foundation At Po Bada Sindhia Via Motiganj District Balasore 756003 2 The Respondent Cit Exemptions Hyderabad 3 The Cit A 4 Cit 5 Dr Itat Cuttack 6 Guard File True Copy