Punjab-Haryana High Court
Commissioner Of Income Tax ... vs M/S Punjab Cricket Association (Pca) ... on 12 August, 2024
Author: Sanjeev Prakash Sharma
Bench: Sanjeev Prakash Sharma
Neutral Citation No:=2024:PHHC:104201-DB
214-2
IN THE HIGH COURT OF PUNJAB AND HARYANA AT
CHANDIGARH
ITA
ITA-166-2016(O&M)
Date of Decision:
Decision:12.08.2024
COMMISSIONER OF INCOME TAX (EXEMPTIONS), CHANDIGARH
.........Appellant
Appellant
V/s.
M/S PUNJAB CRICKET ASSOCIATION (PCA), MOHALI
........Respondent
CORAM: HON'BLE MR. JUSTICE SANJEEV PRAKASH SHARMA
HON'BLE MR. JUSTICE SANJAY VASHISTH
Present Mr. Amanpreet (A.P.) Singh, Senior Standing counsel
for the appellant/Income Tax Department.
Mr. Shantanu Bansal,, Advocate, and
Mr. Yugank Goyal, Advocatesfor
for the respondent
respondent-Assessee.
***
SANJEEV PRAKASH SHARMA,
SHARMA J. (Oral)
1. Learned counsel for the appellant appellant/revenue vehemently argued and submits that the Income Tax Appellate Tribunal, Division Bench, Chandigarh (hereinafter referred to as the "ITAT"), " vide its order dated 19.10.2015 passed in an appeal filed by the appellant/revenue appellant/revenue, has erred in holding that the authority has no jurisdiction to cancel the registration granted under Section 12 of the Income Tax Act, 1961 (hereinafter referred to as "the Act") by invoking powers under Section 12-AA(3) AA(3) of the Act.
2. In this case, the registration was granted ranted to the respondent-
respondent Assessee under Section 12-A 12 A of the Act vide order dated 20.06.2012,, while the Commissioner of Income Tax, Chandigarh, conferred with powers under Section 12AA(3) of the Act, Act, which came into force w.e.f. 01.06.2010 and therefore, the said powers power have been exercised retrospectively which could not 1 of 3 ::: Downloaded on - 31-08-2024 01:11:03 ::: Neutral Citation No:=2024:PHHC:104201-DB ITA-166-2016 2016(O&M) Page 2 of 3 have been done in view of the judgment dated 08.05.2024 passed by this Court in ITA-21-2011 ITA titled as The Commissioner of Income Tax, Patiala Vs. Young Scholar's Educational Society, Ba Barnala whereby the similar issue as raised by the appellant/revenue appellant stands finally adjudicated by this Court after relying on the judgements passed in the case of New Noble Educational Society vs Chief Commissioner of Income-Tax Income Tax and another another; (2022) 448 ITR 594 and Pinegrove International Chairtable Trust Vs Union of India and others (2010) 327 ITR (P&H)holding (P&H) that the powers available to the authorities to cancel the registration granted under Section 12A 12AA(3)of A(3)of the Act was only prospective and could not be applied retrospectively retrospectively. The relevant extract the order is reproduced as under:-
under "15. XXXX XXXX
16. While answering questions of law nos. 1, 3 and 4 (supra), we find that essentially the ITAT has held the order passed by the CIT cancelling the registration registration on 02.03.2010 to be without jurisdiction and without authority in law. It has stated so as the amendment was made in Section 12AA(3) of the Act by the Finance Act of 2010 empowering the Commissioner to cancel the registration granted under Section 12A of the Act where it reaches to a conclusion that the activities of the such trust are not genuine and not being carried out in accordance with the objects of the trust or institution. The power was, therefore, not available as on the day when the CIT cancelled cancelled the registration i.e. on 02.03.2010.
17. XXXX XXXX 2 of 3 ::: Downloaded on - 31-08-2024 01:11:04 ::: Neutral Citation No:=2024:PHHC:104201-DB ITA-166-2016 2016(O&M) Page 3 of 3
18. Thus, we find that the facts were almost similar to the facts of the present case as in the aforesaid case Industrial Infrastructure Development Corporation (Gwalior) M.P. Limited's case (supra), the Commission had cancelled the registration under Section 12A of the Act dated 13.04.1991 by its order dated 29.04.2002 and on 29.04.2002 the Commissioner was not empowered to cancel such registration. In view thereof, the questions of law no. 1, 3 and 4 are answered in favour of the assessee on the basis of judgment in Commissioner of Income Income-
Tax, Gwalior (supra)."
(supra).
3. In view of the above, we find that registration of the respondent-
respondent Assessee herein also could not have been cancel cancelled ed retrospectively.
Accordingly, the Appeal stands dismissed.
4. All pending applications filed in this case shall stand disposed of accordingly.
[SANJEEV SANJEEV PRAKASH SHARMA SHARMA] JUDGE [SANJAY VASHISTH VASHISTH] JUDGE August 12,, 2024 Ess Kay Whether speaking / reasoned : Yes / No Whether Reportable : Yes / No 3 of 3 ::: Downloaded on - 31-08-2024 01:11:04 :::