2023 (6) TMI 120 - AT - Income Tax

Tribunal remands case for fresh examination due to timely application filing

Mukesh Patel Charitable Trust, C/o Shri Bhupesh Rasiklal Patel Versus CIT, Exemption, Pune

The Tribunal remanded the matter to the Commissioner of Income Tax (Exemption) for fresh examination after finding that the assessee had filed the ... Exemption u/s 11 - application seeking registration u/s. 12AA rejected - assessee failed to furnish the details as called for under the provisions of the Act - HELD THAT:- The assessee filed Form No. 10AB on 28-09-2022 which clearly shows that the assessee filed said application well within the time i.e. before 30-09-2022 and the said application was rejected for noncompliance by the assessee in furnishing required documents as sought by the CIT(Exemption), but however, the CBDT vide Circular No. 6 of 2023 clarified the time for filing Form No. 10AB was further extended till 30-09- 2023. Assessee shall be given an opportunity to furnish all the required documents as called by the CIT(Exemption) in the interest of justice. The order of CIT(Exemption) is not justified in cancelling the provisional registration granted on 06-04-2022 u/s. 12AB - along with the Circular No. 6 of 2023 dated 24-05-2023 issued by the CBDT, we deem it proper to remand the matter to the file of CIT(Exemption) for its fresh examination. The assessee is liberty to file evidences, if any, in support of its claim. Thus, the grounds raised by the assessee are allowed for statistical purpose. Issues involved: The judgment involves the rejection of the application seeking registration under section 12AA of the Act by the Commissioner of Income Tax (Exemption) for assessment year 2023-24. Judgment details: In the first appeal (ITA No. 519/PUN/2023), the assessee raised four grounds of appeal, with the main issue being the rejection of the application seeking registration under section 12AA of the Act by the CIT(Exemption). The assessee failed to furnish the required details as requested by the CIT(Exemption), leading to the rejection of the application. However, the CBDT issued Circular No. 6 of 2023 extending the due date for filing the application till 30-09-2023. Since the assessee had filed the application on 28-09-2022, well within the original deadline, the Tribunal deemed it fit to remand the matter to the CIT(Exemption) for fresh examination, allowing the assessee to submit the necessary documents. The grounds raised by the assessee were allowed for statistical purposes, and the appeal was allowed accordingly. In the second appeal (ITA No. 520/PUN/2023), the issue and facts were found to be identical to the first appeal. Therefore, the findings given in the first appeal were applied mutatis mutandis to the second appeal, and the appeal of the assessee was allowed for statistical purposes. Both appeals of the assessee were allowed for statistical purposes.