TMI Blog2017 (11) TMI 572X X X X Extracts X X X X X X X X Extracts X X X X ..... violation of the Act then to disallow exemption under Section 11 of the Act. No illegality or perversity could be demonstrated in the aforesaid approach of the Tribunal. However, inspite of the same, the revenue moved an miscellaneous application before the Tribunal for recalling the order, Annexure A-2. The Tribunal had noticed that by moving the MA, the revenue had tried to review the order which was not permissible under Section 254 of the Act. Further, vide order dated 20.5.2015, the Tribunal had clearly held that the Assessing Officer would be entitled to examine the books of account of the assessee during assessment proceedings and if anything adverse was found, the Assessing Officer can disallow exemption under Section 11 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le P H High Court's observations contained in its order in the case CIT-I v. Sri Guru Gorakh Nath Charitable Educational Society upholding CIT's powers to look into the genuineness of objects and activities when the basis is that of non-supply of information? 2. A few facts necessary for adjudication of the instant appeal as narrated therein may be noticed. The assessee moved an application for registration under Section 12AA of the Act to the Commissioner of Income Tax (CIT). The CIT vide order dated 24.9.2013 (Annexure A-1) dismissed the said application holding that neither aims/objects and terms of memorandum of the assessee are of the charitable nature nor there are activities which may be put to a test of genuineness. Fee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er:- It is an undisputed fact that assessee is running educational institution as is apparent from the assessment order of earlier years placed at paper book pages 124-126 and moreover the object clause as placed in paper book pages 3-14 suggests that assessee is running school for educational purposes. The argument of Ld. D.R. that original constitution needs to be examined with respect to objects clause does not hold much force as A.O. in assessment orders of earlier years (as placed in paper book pages 124-126) has noted that society was running a school. In view of above facts and circumstances and in view of the judgments as noted above, we direct the Commissioner to allow registration u/s 12AA of the Act. The A.O. during assessme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... th the following observations:- 3. We have considered the averments of the Revenue in the light of order sought to be rectified. A perusal of the miscellaneous application shows that the Revenue has raised such contentions in this application which requires reappraisal of facts, consideration of long drawn arguments and elaborate discussion. In fact, the department has tried to review the order of the Tribunal in the name of rectification, which is not permissible in the proceedings u/s 254 of the Act. A perusal of order sought to be recalled shows that the Tribunal has passed an elaborate order discussing therein the procedure of Section 12AA and the powers of the CIT for granting or refusing the registration. Not only this at the end ..... X X X X Extracts X X X X X X X X Extracts X X X X
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