TaxTMI 
TaxTMI 
2022 (3) TMI 1346
X X X X Extracts X X X X
X X X X Extracts X X X X
....fter referred to as the 'Act') for the A.Y 2018-19. 2. The assessee is in appeal before this Tribunal on the following grounds: ITA No.311/Pat/18 for A.Y 2018-19 1. For that the CIT had erred in rejecting application for grant of registration in view of the fact that the society has been created for charitable purpose and the aims and object noted in byelaws of the society demonstrate that it has been created only for charitable purpose. 2. For that the CIT Exemption has fail to appreciate the fact that the society has collected donation and detail of which has been supplied but due to non-consideration of the details adverse inference was drawn. 3. For that the CIT further erred in holding that the petitioner has no bill and vouche....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... for providing relief to poor and imparting education to orphan without charging tuition fee. 4. For that the CIT erred in holding that the assessee had not provided details of beneficiaries as the full details of beneficiaries has been provided along with 'books of account wherein details of donation and subscription was separately accounted for. 5. For that any other ground may be urged at the time of hearing 6. For that, the ground herein above is not prejudicial to each others. 3. Shri K.M. Mishra, Advocate (AR) represented the assessee and Shri Sanjay Mukherjee, CIT (DR) represented the department. 4. Brief facts as culled out from records are that the assessee was established on 03.05.2015 as a society and registered under....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nstitution and the genuineness of its activities, he- (i) Shall pass an order in writing registering the trust or institution (ii) Shall, if he is not so satisfied, pass an order in writing refusing to register the trust or institution" (A) Keeping into consideration of the full adherence to the norms delineated in the above section of the Act, the materials available on record have been perused to examine the application on both the prescribed grounds i.e. (i) objects of Trust/Society and (ii the genuineness of activities claimed. During the course of examination, it is found that the applicant in his audit report has claimed some activities as to have been performed in previous years, but he failed to produce/submit such documents (....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... to submit/produce donation register and receipts vide questionnaire issued from this office, but he failed to submit the same. Hence, in absence of the above mentioned requirements the genuineness of the same remains unverified. (5) In view of such, I am not satisfied about the genuineness of the activities of the Trust/Society as claimed and hence the application filled in form no. 10A for grant of registration u/s 12AA of the Income Tax Act, 1961 is hereby rejected." Aggrieved by rejection of application, now the assessee is before this Tribunal. 5. Shri K.M. Mishra, Advocate, Learned Counsel for the assessee placed on record the written submissions and took us through the paper book to demonstrate that all the required documents and....
X X X X Extracts X X X X
X X X X Extracts X X X X
....Y and the earlier years. The Ld. Counsel further submitted that at the stage of granting approval the Ld. CIT(E) could only verify the objects of the society and not the income received or expenditure incurred. The bills or vouchers of the expenditure cannot be examined at this stage. The enquiry u/s. 12AA/80G of the Act is limited to the aims and objects, which are incorporated in the bye laws of the society. Ld. Counsel placed reliance on the judgment of Hon'ble High Court of Karnataka in the case of Garden City Educational Trust [2011] 330 ITR 480 (Kar) dated 15.07.2009. 6. Per contra, Shri Sanjay Mukherjee, CIT (DR) vehemently argued and placed reliance on the observations of the Ld. CIT(E) in the order and supported the rejection of a....
X X X X Extracts X X X X
X X X X Extracts X X X X
....sessee be given reasonable opportunity of being heard with liberty to file any further details/documents before the Ld. CIT(E) in support of its application for grant of registration or approval. 9. In the light of above observations and in the interest of justice and fair play, we set aside the impugned order and restore the matter back to the file of Ld. CIT(E) to re-consider the application made for registration u/s 12AA afresh by providing reasonable opportunity of being heard to the assessee. The assessee is also directed to be diligent and comply with the requirements as per law before the Ld. CIT(E) for expeditious disposal of the application of registration made u/s 12AA of the Act. Accordingly, appeal of the assessee is allowed fo....