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2023 (10) TMI 1335 - ITAT AHMEDABADExemption u/s 11 - registration u/s.12AB denied - CIT(E) held that he is unable to arrive at the satisfaction of the genuineness of the activities of the assessee Trust - HELD THAT:- It is seen from the second show cause notice by the Ld. CIT(E), there is no specific requirement about the deficit of documents or records filed by the assessee trust. In absence of the same, the Ld. CIT(E) could not have rejected the application on the ground that 30% of the total donation to be received by the assessee Trust will be transferred to the State/Union Territory Branch and National Headquarters of Red Cross Society is nothing but contractual or compulsive transfer of donation fund does not fall within the ambit of voluntary donation and cannot be treated as application of the fund towards the object of the assessee Trust. Consequently denying the registration u/s. 12AB - CIT(E) has not indicated exact deficiency in the documents submitted by the assessee and exact nature of clarification, explanation required from the assessee, but rejected the registration application without confronting the issue and affording proper opportunity of hearing to the assessee Trust. Therefore in order to prevent miscarriage of justice, we find it fit and proper to provide one more opportunity of being heard to the assessee in support of its case for registration of the trust u/s. 12AB - Therefore we dispose of this appeal by restoring this issue to the file of the Ld. CIT(E) with a direction upon him to provide further opportunity of being heard to the assessee and consider the documents, evidences which the assessee would file as per the notice issued by the Ld. CIT(E). Appeal filed by the Assessee is hereby allowed for statistical purposes.
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