TMI Blog2013 (11) TMI 664X X X X Extracts X X X X X X X X Extracts X X X X ..... ument, which was recovered from the main office of BMAS Engineering College, Agra from the seat of Shri Manish Gupta, the main counseller in the Admission Cell. The papers were found in torn position and rearranged by pasting - These papers give details of 31 students along with their registration numbers and date of receipt of money against their names. During post search proceedings Shri Y.K. Gupta the Director and Shri Pradeep Kumar Gupta were also confronted on 20.09.2010. Both of them gave evasive reply. They could not offer any comment on seized papers. Held that:- Seized documents appears to be the dumb documents and would not lead anywhere to prove the case of the Revenue Department. The same seized papers, therefore, are not adm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fied copy of the order has been filed in income tax appeal no.303 of 2013. The defect in Income Tax Appeal (Def.) No.118 of 2013 has been removed. We have heard Shri Shambhu Chopra, learned counsel for the petitioner. This income tax appeal arises out of judgment and order dated 24.5.2013 passed by the Income Tax Appellate Tribunal in ITA No.127/Agra/2013 and ITA No.128/Agra/2013 in the matter of Babu Mohan Lal Arya Smarak Educational Trust v. Commissioner of Income Tax (Central), Kanpur and Sharda Educational Trust v. Commissioner of Income Tax (Central), Kanpur respectively. We have gone through the orders passed by the Commissioner of Income Tax (Central), Kanpur under Section 12AA of the Income Tax Act, 1961 dated 28.3.2013 by whi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment the A.O. raised questions vide notice u/s 142 (1) dated 5.2.2013 and show cause as to why the amount mentioned on the paper may not be treated as unaccounted donation from the students seeking admission in various courses. The assessee produced books of account for verifying the amount as required by the A.O. The A.O. noticed that the amount was not reflected in the books of account. During the assessment proceedings again an opportunity was given to the assessee explaining these entries of cash transaction with their regular books of account. Since the assesseee failed to furnish any satisfactory reply, notice was given as to why registration granted under Section 12A of the Act may not be cancelled. The Commissioner of Income Tax i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... w cause notice to the assessee without waiting for conclusion of assessment proceedings. Therefore, the decision of Hon'ble Orissa High Court in the case of Kalinga Institute of Industrial Technology (Supra) squarely apply in favour of the assessee and against the revenue. We may note that since conditions of grant of registration and cancellation of registration are same and the assessee satisfies that the objects of assessee trust are educational and carried out activities for achieving their objects, therefore, cancellation of registration would not be justified in the matter. No addition could be made against the assessee of unaccounted donation/ capitation fees on the basis of seized computerized paper. It may also be noted that in A.Y ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee to support that the seized papers pertained to the asessee to prove receipt of any on money by the assessee trust. No person from investigation wing examined any of the student or parents to prove the payment of on money. Even the recovered documents have not been sent to any hand writing expert for getting their opinion to prove their nexus with the assessee trust and to put liability upon the assessee. In the absence of any corroborative evidence against the assessee and considering that the issue is same as is considered in the case of Sharda Educational Trust, therefore, following the same reasons for decision, we are of the view that the cancellation of registration is not justified in this case. We accordingly set aside the impug ..... X X X X Extracts X X X X X X X X Extracts X X X X
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