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2020 (12) TMI 41 - ITAT JAIPURGrant of registration u/s 12AA denied - assessee did not submit original documents regarding establishment of the Trust/Society and the assessee did not furnish complete details/evidence in respect of huge cash payment towards salary and wages - HELD THAT:- We find that the assessee has failed to comply with the directions of the ld. Commissioner (E) while processing the application of the assessee for seeking registration under section 12AA - assessment order passed by the AO cannot prevail over the decision of ld. Commissioner (E) and mitigate the requirement of verification and satisfaction of the ld. Commissioner (E) about the objects of the assessee being charitable and genuineness of the activities of the assessee. At the stage of granting the registration under section 12AA the ld. Commissioner (E) is not supposed to examine the correctness of the claim of expenditure but the requisite details of the employees of the assessee is a relevant information to arrive at the conclusion that the activities of the assessee are genuine. If the assessee is not having the requisite number of teachers and other staff required for running the schools and colleges, then it cannot be said that the activities of the assessee are genuine. Therefore, those decisions cannot restrict the scope of examination on the point of genuineness of the activities. Though the assessee has failed to produce the requisite details as well as the original documents for verification of the ld. Commissioner (E), however, in the interest of justice, we grant one more opportunity to produce the requisite information/details as well as the original documents before the ld. Commissioner (E) for examination and verification. Accordingly, the impugned order of the ld. Commissioner (E) is set aside and the matter is remanded to the record of the ld. Commissioner (E) for passing a fresh order after verification and consideration of the requisite information/details as well as the original documents to be produced by the assessee - Decided in favour of assessee for statistical purposes.
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