Nehru Yuva Kendra Sangathan Core IV, Delhi v. DIT, Delhi

ITA 404/DEL/2009 | misc
Pronouncement Date: 11-01-2011 | Result: Allowed

Appeal Details

RSA Number 40420114 RSA 2009
Assessee PAN AAATN1697G
Bench Delhi
Appeal Number ITA 404/DEL/2009
Duration Of Justice 1 year(s) 11 month(s) 7 day(s)
Appellant Nehru Yuva Kendra Sangathan Core IV, Delhi
Respondent DIT, Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 11-01-2011
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted F
Tribunal Order Date 11-01-2011
Date Of Final Hearing 11-01-2011
Next Hearing Date 11-01-2011
Assessment Year misc
Appeal Filed On 03-02-2009
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH `F: NEW DELHI BEFORE SHRI G.E. VEERABHADRAPPA VICE PRESIDENT AND SHRI C.L.SETHI JUDICIAL MEMBER. I.T. A. NO.404/DEL/2009 ASSESSMENT YEAR: N.A. NEHRU YUVA KENDRA SANGATHAN DIRECTOR OF INCOME-T AX (EXEMPTION) CORE IV SECOND FLOOR VS. DELHI. SCOPE MINAR TWIN TOWER COMPLEX LAXMI NAGAR DISTRICT CENTER DELHI. PAN: AAATN1697G (APPELLANT) (RESPONDENT) APPELLANT BY: SHRI V. K. AGGARWAL AR. RESPONDENT BY: SMT. BANITA DEVI NAOREM SR. DR. O R D E R PER C.L. SETHI JUDICIAL MEMBER: THE ASSESSEE SOCIETY IS IN APPEAL AGAINST THE ORDER DATED 18 TH APRIL 2007 PASSED BY THE DIRECTOR OF INCOME-TAX (EXEMPTIO N) DELHI UNDER SEC. 12A READ WITH SEC. 12AA OF THE INCOME-TAX ACT 1961 (THE ACT). 2 2. GROUNDS RAISED IN THIS APPEAL ARE AS UNDER:- 1. THE LD. DIT(E) HAS GROSSLY ERRED IN LAW AS WELL AS ON FACTS IN HOLDING THAT HE WAS NOT SATISFIED THAT THE APPEL LANT WAS PREVENTED BY SUFFICIENT CAUSE FROM MAKING THE APPLI CATION FOR REGISTRATION BEFORE THE EXPIRY OF ONE YEAR FROM THE DATE OF ITS CREATION. 2. THE LD. DIT(E) HAS GROSSLY ERRED IN LAW AS WELL AS ON FACTS IN NOT CONDONING THE DELAY IN FILING THE APPLICATIO N FOR REGISTRATION AND NOT GRANTING THE REGISTRATION U/S 12A WITH EFFECT FROM 17/12/86 I.E. THE DATE OF CREATION. 3. IN THIS CASE AN APPLICATION FOR REGISTRATION UN DER SEC. 12A WAS MADE BY THE ASSESSEE ON 25.10.2006. THE ASSESSEE TRUST WAS CONSTITUTED BY DEED OF TRUST OR MEMORANDUM OF ASSOCIATION OR INSTRUMENT DATED 17.12.1986. THE ASSESSEES APPLICATION FOR REGISTRATION WAS CON SIDERED BY THE DIRECTOR OF INCOME-TAX (EXEMPTION) WHO ALLOWED REGISTRATION U/ S12A READ WITH SEC. 12AA WITH EFFECT FROM 01.04.2006 I.E. THE FIRST DAY OF FINANCIAL YEAR IN WHICH THE APPLICATION FOR REGISTRATION U/S 12A WAS MADE ON 25.10.2006. IN THE COURSE OF REGISTRATION PROCEEDINGS THE ASSESSE E ALSO REQUESTED DIRECTOR OF INCOME-TAX TO CONDONE THE DELAY IN MAKING AN APP LICATION AND TO GRANT REGISTRATION TO THE ASSESSEE FROM THE DATE OF ITS C REATION. THE ASSESSEE VIDE LETTER DATED 19.3.2007 REQUESTED THE DIRECTOR OF IN COME-TAX (E) FOR CONDONATION OF DELAY ON THE GROUND THAT THE DELAY W AS DUE TO THE REASONS BEYOND ITS CONTROL. THE DIRECTOR OF INCOME-TAX (E) REJECTED THE APPLICATION FOR CONDONATION OF DELAY BY STATING THAT NO SPECIFI C REASON WAS GIVEN FOR 3 DELAY IN FILING THE APPLICATION FOR REGISTRATION U/ S 12A OF THE ACT. AFTER CONSIDERING THE FACTS OF THE CASE THE DIT(E) CAME TO A VIEW THAT THE ASSESSEE DID NOT HAVE ANY SUFFICIENT AND GOOD REASONS FOR DE LAY IN MAKING THE APPLICATION FOR REGISTRATION U/S 12A AND THEREFORE HE WAS NOT SATISFIED THAT THE ASSESSEE WAS PREVENTED BY SUFFICIENT CAUSE FOR MAKING THE APPLICATION FOR REGISTRATION BEFORE THE EXPIRY OF ONE YEAR FROM THE DATE OF ITS CREATION. ACCORDINGLY THE DELAY IN FILING THE APPLICATION WA S NOT CONDONED BY THE DIT(E) AND THE REGISTRATION WAS GRANTED ONLY FROM 1 ST DAY OF THE FINANCIAL YEAR IN WHICH THE APPLICATION WAS MADE BY THE ASSES SEE. 4. AGAINST THE ORDER OF THE DIT(E) IN REFUSING TO C ONDONE THE DELAY IN MAKING APPLICATION FOR REGISTRATION THE ASSESSEE H AS FILED THIS APPEAL BEFORE US. 5. AT THE OUTSET IT IS TO BE NOTED THAT THE PRESEN T APPEAL FILED BY THE ASSESSEE BEFORE US IS BARRED BY 588 DAYS. IN SUPPO RT OF THE PRAYER TO CONDONE DELAY IN FILING THIS APPEAL BEFORE US THE ASSESSEE HAS FILED AN AFFIDAVIT STATING THEREIN THAT THE ASSESSEE SOCIETY WROTE A LETTER TO THEIR TAX CONSULTANT M/S. KACHHAL & CO. ON 30.04.2007 FORWARD ING A COPY OF THE ORDER PASSED BY THE DIT(E) U/S 12A AND SEEKING ADVI CE ON THE NEXT COURSE OF ACTION BUT DUE TO OVERSIGHT AND PRE-OCCUPATION M/ S. KACHHAL & CO. COULD NOT FILE APPEAL AGAINST THE IMPUGNED ORDER FOR NOT CONDONING THE DELAY IN 4 FILING APPLICATION FOR REGISTRATION WITHIN ONE YEAR FROM THE DATE OF ITS CREATION. IT WAS THUS SUBMITTED BY THE LEARNED CO UNSEL FOR THE ASSESSEE THAT THERE WAS A SUFFICIENT AND REASONABLE CAUSE FOR NOT FILING THIS APPEAL WITHIN TIME. IN SUPPORT OF THAT THE ASSESSEE HAS ALSO FILE D BEFORE US A CONFIRMATION LETTER FROM M/S. KACHHAL & CO. DATED 1 ST JULY 2010 STATING THEREIN THAT DUE TO OVERSIGHT THEY HAD NOT TAKEN UP THE ASSIGNMENT AND ACCORDINGLY THE APPEAL BEFORE THE TRIBUNAL WAS NOT FILED BY THEM AS THE COPY OF THE ORDER WAS MISPLACED IN THEIR OFFICE. 6. WE HAVE CONSIDERED THE ASSESSEES APPLICATION FO R CONDONATION OF DELAY IN FILLING THIS APPEAL BEFORE US. THE ASSESS EE IS A NEHRU YUVA KENDRA SANGATHAN ESTABLISHED BY THE GOVERNMENT OF INDIA W ITH THE OBJECT OF PROVIDING NON STUDENT RURAL YOUTH WITH THE OPPORTUN ITY TO GROW AND ACHIEVE NATIONAL GOALS. THE ASSESSEE HAS MADE AN APPLICATI ON BEFORE COMMITTEE ON DISPUTES FOR FILING THIS APPEAL BEFORE TRIBUNAL. T HE COD HAS GRANTED ITS APPROVAL TO THE ASSESSEE TO PURSUE THIS APPEAL. IN THE LIGHT OF THE REASONS GIVEN BY THE ASSESSEE AND HAVING REGARD TO THE NATU RE OF THIS SOCIETY WHICH HAS BEEN ESTABLISHED BY THE GOVERNMENT OF INDIA AND HAVING REGARD TO THE FACT THAT THEY ARE NOT WELL CONVERSANT WITH THE TAX EXEMPTION PROCEDURE PROVIDED UNDER THE INCOME-TAX ACT WE ARE OF THE CO NSIDERED OPINION THAT THE ASSESSEE WAS PREVENTED BY SUFFICIENT AND REASONABLE CAUSE FROM FILING THIS 5 APPEAL WITHIN TIME. WE THEREFORE CONDONE THE DEL AY AND ADMIT THIS APPEAL FOR HEARING. 7. THE ONLY ISSUE INVOLVED IN THIS APPEAL IS AS TO WHETHER THE DIT(E) WAS JUSTIFIED IN REFUSING THE ASSESSEES REQUEST FOR CO NDONATION OF DELAY IN FILING APPLICATION FOR REGISTRATION WITHIN ONE YEAR FROM T HE DATE OF ITS CREATION. BEFORE THE DIT(E) THE ASSESSEE HAS MERELY STATED TH AT DELAY WAS OCCURRED DUE TO THE REASONS BEYOND THEIR CONTROL. HOWEVER THOUGH NO REASONS WERE SPECIFICALLY DETAILED IN THE APPLICATION IT HAS BE EN CONTENDED BY THE LEARNED COUNSEL FOR THE ASSESSEE BEFORE US THAT THE SAME WE RE ORALLY EXPLAINED BEFORE THE DIT(E). THE ASSESSEE HAS ALSO FILED BEFORE US A DETAILED NOTE SHOWING THE CIRCUMSTANCES UNDER WHICH THE APPLICATION FOR R EGISTRATION U/S 12A COULD NOT BE MADE WITHIN ONE YEAR FROM ITS INITIAL CONSTI TUTION. ALL THESE DETAILS WERE NOT BEFORE THE DIT(E) FOR HIS CONSIDERATION. WE THEREFORE RESTORE THE MATTER BACK TO THE FILE OF THE DIT(E) TO RECONSIDER THE ASSESSEES REQUEST FOR CONDONATION OF DELAY IN FILING APPLICATION FOR REGI STRATION WITHIN ONE YEAR FROM THE DATE OF ITS CREATION. IT SHALL BE THE B OUNDED DUTY OF THE ASSESSEE TO PRODUCE ALL DETAILS AND PARTICULARS BEFORE THE DIT( E) IN SUPPORT OF ITS APPLICATION FOR CONDONATION OF DELAY IN FILING APPL ICATION FOR REGISTRATION WHICH SHALL BE CONSIDERED AND LOOKED INTO BY THE DI T(E) AS PER LAW AFTER 6 PROVIDING REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE SOCIETY. WE ORDER ACCORDINGLY. 8. IN THE RESULT THE APPEAL FILED BY THE ASSESSEE IS TREATED TO BE ALLOWED FOR STATISTICAL PURPOSES IN THE MANNER AS INDICATED ABOVE. 9. THIS DECISION IS PRONOUNCED IN THE OPEN COURT IM MEDIATELY AFTER THE HEARING WAS OVER ON 11 TH JANUARY 2011. SD/- SD/- (G.E. VEERABHADRAPPA) (C.L. SETHI) VICE PRESIDENT JUDICIAL MEMBER DATED: 11 TH JANUARY 2011. COPY OF THE ORDER FORWARDED TO:- 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR BY ORDER *MG DEPUTY REGISTRAR ITAT.