M/s Chamber of Commerce and Industries, Tadepallegudem v. The Commissioner of Income Tax, Rajahmundry

ITA 388/VIZ/2010 | misc
Pronouncement Date: 26-08-2010 | Result: Allowed

Appeal Details

RSA Number 38825314 RSA 2010
Bench Visakhapatnam
Appeal Number ITA 388/VIZ/2010
Duration Of Justice 2 month(s) 4 day(s)
Appellant M/s Chamber of Commerce and Industries, Tadepallegudem
Respondent The Commissioner of Income Tax, Rajahmundry
Appeal Type Income Tax Appeal
Pronouncement Date 26-08-2010
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted DB
Tribunal Order Date 26-08-2010
Assessment Year misc
Appeal Filed On 21-06-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH VISAKHAPATNAM BEFORE: SHRI SUNIL KUMAR YADAV JUDICIAL MEMBER AND SHRI BR BASKARAN ACCOUNTANT MEMBER ITA NO.388/VIZAG/2010 ASSESSMENT YEAR: N.A. M/S. CHAMBER OF COMMERCE AND INDUSTRIES TADEPALLIGUDEM CIT RAJAHMUNDRY (APPELLANT) VS. (RESPONDENT) PAN NO.AAATT 9399R APPELLANT BY: SHRI G.V.N. HARI CA RESPONDENT BY: SHRI D.S. SUNDER SINGH DR ORDER PER SHRI S.K. YADAV JUDICIAL MEMBER:- THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST THE REJECTION OF THE APPLICATION SEEKING REGISTRATION U/S 80G OF THE I.T. ACT. ON CAREFUL PERUSAL OF THE ORDER WE FIND THAT THE ITO HAS INTIMATED THE A SSESSEE THAT HIS APPLICATION FOR RENEWAL OF EXEMPTION U/S 80G CANNOT BE ENTERTAINED AS THE ASSESSEE TRUST IS NOT REGISTERED U/S 43(1) OF THE A .P. CHARITABLE AND HINDU RELIGIOUS INSTITUTION AND ENROLMENT ACT 1987. WE A RE SURPRISED TO NOTE THAT HOW THE A.O. IN THE O/O THE COMMISSIONER OF INCOME T AX GOT THE JURISDICTION TO TAKE A DECISION ON AN APPLICATION FOR EXEMPTION U/S 80G FILED BY THE ASSESSEES. IT IS FOR THE COMMISSIONER OF INCOME TAX TO DECIDE THE APPLICATION OF THE ASSESSEE FOR EXEMPTION U/S 80G. THE OBSERVATION OF THE ITO THAT THE APPLICATION OF THE ASSESSEES IS NON-AD MISSIBLE IS HIGHLY OBJECTIONABLE AND UNCALLED FOR. WE THEREFORE ADVIC E THE COMMISSIONER OF INCOME TAX TO ADJUDICATE THE REQUEST FOR EXEMPTION M OVED BY THE ASSESSEE HIMSELF AND NOT TO ALLOW HIS SUBORDINATE TO ENCROAC H UPON THE JURISDICTIONS WHICH IS CONFERRED TO HIM. 2. NOW COMING ON MERIT WE FIND THAT THIS APPLICATI ON FOR EXEMPTION U/S 80G WAS NOT ENTERTAINED ONLY FOR THE REASON THAT AS SESSEE DID NOT HAVE THE REGISTRATION U/S 43(1) OF THE A.P. CHARITABLE AND H INDU RELIGIOUS INSTITUTION 2 AND ENROLMENT ACT 1987. WE DO NOT FIND ANY SUCH R EQUIREMENT IN THE INCOME TAX ACT WHICH MAKE IT TO BE A CONDITION PRECE DENT FOR THE ASSESSEE FOR GETTING AN EXEMPTION U/S 80G OF THE ACT. THE R EQUIREMENT OF LAW IS THAT THE ASSESSEE SHOULD BE A CHARITABLE SOCIETY AND THI S CAN BE EVIDENCED FROM THE RECITAL PREPARED BY THE ASSESSEE IN THIS REGARD . BEFORE GRANTING A REGISTRATION IT IS FOR THE COMMISSIONER TO VERIFY FROM THE MATERIAL AVAILABLE ON RECORD WHETHER THE SOCIETY OR A TRUST WAS CREATED F OR THE CHARITABLE PURPOSE. WE THEREFORE OF THE VIEW THAT REGISTRATION U/S 43( 1) OF THE A.P. CHARITABLE AND HINDU RELIGIOUS INSTITUTION AND ENROLMENT ACT 1 987 IS NOT REQUIRED BEFORE APPLYING FOR RENEWAL OF EXEMPTION U/S 80G OF THE ACT. WE THEREFORE SET ASIDE THE ORDER OF THE ASSESSING OFFICER PASSED ON BEHALF OF THE CIT AND DIRECT THE CIT TO ADJUDICATE THE ISSUE AFRESH IN TH E LIGHT OF RELEVANT PROVISIONS OF LAW BY PASSING A SPEAKING ORDER. 3. IN THE RESULT THE APPEAL OF THE ASSESSEE IS ALLO WED FOR STATISTICAL PURPOSE. PRONOUNCED I N THE OPEN COURT ON 26.8.2010 SD/- SD/- (BR BASKARAN) (SUNIL KUMAR YADAV) ACCOUNTANT MEMBER JUDICIAL MEMBER VG/SPS VISAKHAPATNAM DATED 26 TH AUGUST 2010. COPY TO 1 CHAMBER OF COMMERCE AND INDUSTRIES D.NO.11-176(1 ) MAIN ROAD TADEPALLIGUDEM 2 CIT RAJAHMUNDRY 3 THE CIT(A) RAJAHMUNDRY 4 THE DR ITAT VISAKHAPATNAM. 5 GUARD FILE. BY ORDER SENIOR PRIVATE SECRETARY INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM