Income Tax Appellate Tribunal - Jaipur
Ranthambore Tiger Conservation, Sawai ... vs Assessee on 9 January, 2015
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ITA No. 641 & 642/JP/12
Ranthambore Tiger Conservation Foundation, Sawai Madhopur
IN THE INCOME TAX APPELLATE TRIBUNAL
JAIPUR BENCH, Jaipur
(BEFORE SHRI R.P.TOLANI AND SHRI T.R.MEENA)
ITA No. 641 & 642/JP/2012
U/s 12AA(1)(b)(ii) & 80G(5)
PAN No.AAAAR9889H
Ranthambore Tiger Conservation Vs. The Commissioner of Income
Foundation, Sawai Madhopur. Tax, Kota.
(Appellant) (Respondent)
Assessee by : Sh.Vinod Gupta & Deepak Gupta
Department by : Smt.Rolly Agarwal
Date of hearing : 06.01.2015
Date of pronouncement : 09.01.2015
ORDER
PER: T.R.MEENA,A.M. Both the appeals enimating from the order of CIT, Kota order dated 22.02.11 u/s 12AA & u/s 80G(5) of IT Act. The effective grounds of appeals are as under :-
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ITA 641/JP/12 "1. Under the facts & circumstances of the case Commissioner of Income Tax Kota has erred in rejecting application made under section 12AA(1) of I.T. Act 1961, for registration of Trust on the ground of being a Government Trust & purpose of the Trust are not charitable.
2. Under the facts & Circumstances of the case CIT Kota has erred by rejecting application made by the appellant for registration as charitable trust on the ground of non production of books of accounts as it was 1st year of registration. Hence there cannot be books of accounts of previous year.
3. Under the facts & circumstances of the case CIT Kota has erred by rejecting application made by the appellant for registration as charitable trust on the ground of activities of the appellant.
The appellant's main aim & objects are object to facilitate & support the tiger reserve management for conservation of tiger & biodiversity & to facilitate Ecological, Economic, Social & Cultural Development in & around the Tiger Reserve & Protect the natural environment.
AS PER SECTION 2(15) OF THE I.T.ACT 1961, DEFINITION OF "CHARITABLE" READS AS UNDER:
"Charitable purpose" includes relief of the poor, education, medical relief, [preservation of environment (including watersheds, forests and wildlife) and preservation of monuments or places or objects of artistic or historic interest, ] and the advancement of any other object of general public utility:
IN THE ABOVE DEFINITION PRESERVATION OF THE ENVIRONMENT IS EXPRESSLY INCLUDED AS A CHARITABLE ACTIVITY.3
4. The appellant reserves the right to add, reduce, amend, withndraw of all or any grounds of appeal."
ITA 642/JP/12 "1. Under the facts & circumstances of the case Commissioner of Income Tax Kota has erred in rejecting application made under section 80G(5) of I.T.Act 1961, for grant of exemption U/s 80G(5) of the I.T.Act, 1961.
2. Under the facts & Circumstances of the case CIT Kota has erred by rejecting application made by the appellant for registration as charitable trust on the ground of non production of books of accounts as it was 1st year of registration. Hence there cannot be books of accounts of previous year.
3. Under the facts & circumstances of the case CIT Kota has erred by rejecting application made by the appellant for registration as charitable trust on the ground of activities of the appellant. The appellant's main aim & objects are object to facilitate & support the tiger reserve management for conservation of tiger & biodiversity & to facilitate Ecological, Economic, Social & Cultural Development in & around the Tiger Reserve & Protect the natural environment.
AS PER SECTION 2(15) OF THE I.T.ACT 1961, DEFINITION OF "CHARITABLE" READS AS UNDER:
"Charitable purpose" includes relief of the poor, education, medical relief, [preservation of environment (including watersheds, forests and wildlife) and preservation of monuments or places or objects of artistic or historic interest, ] and the advancement of any other object of general public utility:
IN THE ABOVE DEFINITION PRESERVATION OF THE ENVIRONMENT IS EXPRESSLY INCLUDED AS A CHARITABLE ACTIVITY.4
4. The appellant reserves the right to add, reduce, amend, withndraw of all or any grounds of appeal."
2. The assessee applied for registration u/s 12AA (1) on 24-09-2010. The Ld.CIT forwarded the assessee's application to AO the verify the activity of the foundation. The AO gave the reasonable opportunity being heard to the appellant to submit the details of activity performed by the foundation. The appellant only fied copy of Article of Association before the Ld.CIT & on repeated date given by the A.O., the appellant did not appear before the AO. Therefore Ld.CIT has decided the application for registration on the basis of material available on record. He held that assessee's activity was is not charitable purpose and not entitle for registration u/s 12AA of the Act.
3. Similarly, same findings has been given by the Ld.CIT not granting of exemption u/s 80G(5) of the ITAct.
4. Being agreed by both the order of CIT the assessee carried the matter before us. The Ld.A.R. submitted that the commissioner is required to satisfied himself about the object of the trust or Institution and the genuineness the activity before giving such registration the only requirement is that the object must be charitable purpose has defined u/s 2(15) of IT Act, 1961 alongwith 5 genuineness of activity. The Ld.Counsel for the assessee had drawn our attention on aims and object of the foundation as per memorandum and Article Association and argued that the foundation has come into existence for preservation of environment which includes for forest and wildlife. The foundation has been formed by the state govt. only in compliance of the requirement of wildlife (Protection) Amendment Act, 2006. The assessee's Ld.A.R. relied uipon recent judgement of jurisdictional High Court in the case of CIT Vs. Vijayvargieya Vani Charitable Trust (2014) 369 ITR 360 (Raj.), Director of Income Tax Vs. Gurdev City Educational Trust (2011) 330 ITR 480 (Ker.), Fifth generation Education Society Vs. CIT (1990) 185 ITR 634 (All.), Commissioner of Income Tax-I, Lucknow Vs. St. Don Bosco Educational Society, ITA No.24/Luck/2004, Director of Income Tax (Exemption) Vs. Panna Lalbhai Foundation, (2013) 35 taxmann.com 104 (Gujarat), Tara Devi Trust Vs. CIT-II, ITA No.2185/Ahd/2013 & Director of Income Tax Vs. Foundation of Ophthalmic & Optometry Research Education Center, ITA No. 1687/Del/2010.
Similarly arguments are taken by the Ld.A.R. for granting of exemption u/s 80G(5). At the outset Ld.CIT D.R. vehemently has supported the order of the CIT & argued that the appellant had not satisfied to the CIT for genuineness of activity of the 6 foundation. The appellant was non cooperative before the CIT. Therefore, he rightly rejected the assessee's applications.
5. We have heard the rival submission perused the material on record. It appears that the appellant has not submitted required detals/information before the AO as well as the CIT. It only furnished the copy of memorandum and Article of Association of Foundation but the CIT can call for such document or information from the trust or institution as he think necessary in order to satisfied himself about the genuineness of the activity of the Trust or Institution. He shall pass an order in writing either registration or refusal of registration. Which has been followed by the CIT in absence of required material not submitted by the appellant. We therefore direct the Ld.CIT to reconsider the assessee both the applications in the interest of Justice by considering the case laws cited by the appellant. The Ld.AR of the assessee is also directed to cooperate with CIT providing the required detail. Accodingly, we set aside both the appeals.
6. In the result, the assessee's appeals are allowed for statistical purposes.
Sd/- Sd/-
(R.P.TOLANI) (T.R.MEENA)
JUDICIAL MEMBER ACCOUNTANT MEMBER
Jaipur
Dated : 09/01/2015
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*Basant*
Copy forwarded to :-
1. Ranthambore Tiger Conservation Foundation, Sawai Madhopur.
2. The CIT, Kota.
3. The CIT
4. The D/R
5. Guard file (ITA No.641 & 642/JP/2012) By Order AR ITAT JAIPUR