Income Tax Appellate Tribunal - Nagpur
Hajrat Baba Lodhishah Bahuddeshiya ... vs Commissioner Of Income Tax ( Exemption ) ... on 6 October, 2023
।आयकर अपीलीय अिधकरण ायपीठ नागपु र म।
IN THE INCOME TAX APPELLATE TRIBUNAL,
NAGPUR BENCH : : NAGPUR
[VIRTUAL HEARING AT PUNE]
BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER
AND
DR. DIPAK P. RIPOTE, ACCOUNTANT MEMBER
आयकर अपील सं. / ITA No.29/NAG/2018
िनधारण वष / Assessment Year : -
Hajrat Baba Lodhishah The Commissioner of
Bahuddeshiya Shikshan V Income Tax
Sanstha, s (Exemption), Pune.
C/o.Chandak Umalkar &
Associates,
Chartered Accountants, Plot
No.198, Akshay Aprtment,
Near Dr.Dngre Homeopathy
Clinic, Ngpur - 440015.
PAN: AAATH 8449 J
Appellant / Assessee Respondent / Revenue
Assessee by None
Revenue by Shri Kailash Kanojiya - DR
Date of hearing 22/09/2023
Date of pronouncement 06/10/2023
आदेश/ ORDER
PER DR. DIPAK P. RIPOTE, AM:
This is an appeal filed by the assessee against the order of ld.CIT(E), Pune under section 12AA of the Income Tax Act, 1961 dated 28.09.2017.
ITA No.29/NAG/2018
Hajrat Baba Lodhishah Bahuddeshiya Shikshan Sanstha [A]
2. At the outset of hearing, no one appeared on behalf of the assessee.
Findings & Analysis :
3. We have heard the ld.Departmental Representative for the Revenue. On perusal of the ld.CIT(E)'s order, it is observed that ld.CIT(E) has denied the registration only on one ground i.e. non-availability of "Dissolution Clause" in the Trust Deed. The relevant paragraph of the ld.CIT(E)'s order is reproduced here as under :
"5.1 On the basis of information available on record, objects of the trust prima-facie appear to be "Charitable" in nature but the lack of clause on Dissolution and failure of the applicant to produce a copy of the application for amending the trust deed to include the "Dissolution Clause" filed before the Charity Commissioner the application for grant of registration u/s 12AA cannot be accepted.
6. In view of the above, the application is hereby rejected u/s 12AA(1)(b)(ii) of the Income Tax Act, 1961 on technical grounds.
4. Thus, the ld.CIT(E) himself stated in the order that prima- facie objects of the assessee are charitable in nature. The Commissioner has never doubted about the genuineness of the activities in the order. He rejected it only on one ground i.e. absence of "Dissolution Clause" in the Trust Deed. In the facts statement filed by the assessee along with appeal memo, it is 2 ITA No.29/NAG/2018 Hajrat Baba Lodhishah Bahuddeshiya Shikshan Sanstha [A] submitted by assessee that they have aggreed to add "Dissolution Clause" and assured the same to the Commissioner during the hearing. It is also mentioned in the facts of the case that Trust fulfilled all the conditions laid down under section 12AA of the Act.
5. The Hon'ble Gujarat High Court in the case of CIT Vs. Tapagachha Sangh Mota [2015] 59 taxmann.com 204 (Gujarat) has held as under :
"In a given case even in absence of any provision in the trust with respect to "dissolution clause" if on facts the trust is found to be genuine and/or genuineness of the trust is established, the trust may be entitled to registration under Section 12 AA of the Act, however subject to fulfillment of conditions under Section 12 AA of the Act i.e. when the Commissioner is satisfied about the genuineness of the activities of the trust or the institution."
6. Thus, the Hon'ble Gujarat High Court has held that if Trust fulfilled all other conditions, then the Trust will be eligible for registration even in the absence of Dissolution Clause in the Trust Deed. We have already mentioned that in this case, the ld.Commissioner was satisfied about the charitable nature of the objects. The ld.Departmental Representative for the Revenue has not brought to our notice any contrary decision of Jurisdictional High Court. In these facts and circumstances of the case, we direct the ld.CIT(E) to grant registration under 3 ITA No.29/NAG/2018 Hajrat Baba Lodhishah Bahuddeshiya Shikshan Sanstha [A] section 12AA of the Act, accordingly grounds of appeal raised by the assessee are allowed.
7. In the result, appeal of the assessee is allowed.
Order pronounced in the open Court on 6th October, 2023.
Sd/- Sd/-
(S.S.GODARA) (DR. DIPAK P. RIPOTE)
JUDICIAL MEMBER ACCOUNTANT MEMBER
पुणे / Pune; दनांक / Dated : 6th October, 2023/ SGR* आदेशक ितिलिप अ ेिषत /Copy of the Order forwarded to :
1. अपीलाथ / The Appellant.
2. यथ / The Respondent.
3. The CIT(A), concerned.
4. The Pr. CIT, concerned.
5. िवभागीय ितिनिध, आयकर अपीलीय अिधकरण, नागपुर बच, नागपुर/ DR, ITAT, Bench, Nagpur.
6. गाड फ़ाइल / Guard File.
आदेशानुसार / BY ORDER, // TRUE COPY // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे/ITAT, Pune.
4