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2014 (3) TMI 1222 - AT - Income TaxViolation of rules of natural justice - cancelling the registration u/s 12AA(3) - Commercial Cricket related activities - AR submitted that the DIT (E) had cancelled the registration by pointing out certain issues which were never raised in the show cause notice issued by him or even not put across to the assessee at the time of personal hearing before him - HELD THAT:- Before cancelling the registration granted to the assessee, that too retrospectively, the DIT (E) should have given adequate opportunity to the assessee to explain/clarify on the issues on the basis of which the DIT (E) cancelled the registration. It is a fact that assessee was earlier registered u/s 12A of the Act. Therefore, it was incumbent upon the DIT (E) to bring to the notice of the assessee all those factors, which according to the DIT (E), has changed the nature and character of the assessee and its objects have become such that it can no more be considered to be existing solely for charitable purpose as defined u/s 2(15) of the Act. We, therefore, feel that the assessee deserves a fair opportunity to explain its position on all the issues which provoked the DIT (E) to cancel the registration granted u/s 12A - Thus remit the matter back to the file of the DIT (E), who shall communicate to the assessee all the issues, which according to him, has changed the object of the assessee thereby violating the conditions of registration u/s 12AA(3). Assessee’s appeal is allowed for statistical purposes.
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