https://www.taxtmi.com/css/info/rss_sitemap/rss_feed.css?v=1746094055 https://www.taxtmi.com Business/Tax/Law/GST/India/Taxation/Policies/Legal/Corporate Tax/Personal Tax/Vat Law/Legal Information/Tax Information/Legal Services/Tax Services Tax Management India. Com / MS Knowledge Processing Pvt. Ltd. All rights reserved. One stop solution for Direct Taxes and Indirect Taxes https://www.taxtmi.com/caselaws?id=759064 https://www.taxtmi.com/caselaws?id=759064 Rejection of application for grant of registration u/s 10(23C)(vi) on unaudited accounts - As argued as per the applicable statutes, the audited clause applied on the assessee university only after three years of existence - HELD THAT:- As in the present case as the assessee was unable to furnish necessary information or explanation before the CIT(E). The order of rejection passed by CIT(E), wherein elaborate discussion was made regarding the failure of the assessee in submitting the information and supporting documents towards the response of various queries. Before us also AR has submitted that the accounts of the assessee university are not required to be audited as per applicable statute, the audit clause applied only after 3 years of existence, however, such contention have not been established with any supporting evidence. Even the audit clause no. 48(1) of the relevant statute does not state that the audit should be done after 3 years of the existence. It is also the contention of the AR that audit for FY 2020-21 was not carried out for the reason that the assessee institution was notified under the audit list on 13.12.2022 by whereas on perusal of records, it is revealed that the books of the assessee for completed FY 2021-22 were got audited on 30.09.2022 i.e., before the date of aforesaid notification dated 13.12.2022, however, the audit of FY 2020-21 was not carried out, therefore, such contention that the audit was not conducted on account of assessee s non-inclusion in the audit list is found to be untenable and incomprehensible. Regarding vehicle expenses also no plausible explanation or supporting evidence could be furnished before us, rather the vouchers shown to us which were debited under the said head are found to be irrelevant for which Ld. AR had tried to explain that there was a mistake in booking the said expenses under proper head of account and genuineness of such expenses should not be doubted. For examination expenses AR contention that these are confidential expenses and relevant information was shown to the ITO-Exemption, Bilaspur at the time of physical verification was found to be bereft of any supporting evidence, thus, the observations of CIT(E), that the assessee failed to provide relevant detailed and explanations on the above-mentioned points could not be reasonably refuted. Further, no corroborative evidence such as any letter / request showing purpose from the donee qua the donation offered by various teachers and professors for the purpose of honouring gold medallist students could be furnished before the Ld. CIT(E) and so before us. Respectfully following the principle of law laid down in the case of New Noble Education Society [ 2022 (10) TMI 855 - SUPREME COURT] we do not find any infirmity in the order of Ld. CIT(E), so as to interfere with the same - Decided against assessee. Case-Laws Income Tax Fri, 31 May 2024 00:00:00 +0530