INCOME TAX ACT 1961

Sections 11 & 12

Charitable trust - Exemption under sections 11 and 12 - Assessee having not filed any record but filed only copy of the alleged application for seeking registration under section 12A -

Assessee claimed exemption under sections 11 and 12. Its claim of exemption was based on a plea that the application seeking registration under section 12A had not been disposed of by department and therefore, it was entitled for exemption. AO, however, noted that no registration under section 12A/12AA had been obtained by the assessee and therefore, he denied said exemption claimed. Held: This is a question of fact regarding submitting of the application on behalf of the assessee as claimed seeking registration under section 12A. The assessee had not filed any record or copy of the alleged application either before the authorities below or before the Tribunal. Assessee strongly relied upon a letter issued by ITO wherein it is stated that till application of the assessee is disposed off for grant of registration under section 12A, assessee will get the benefit of exemption under sections 11 and 12. It was not clear that in what capacity, the said letter was issued by the ITO whether he was functioning on behalf of CIT(E) or not. Thus, all these facts require a proper scrutiny of the record and particularly any documentary evidence to be filed by the assessee to show that any application on behalf of the assessee was submitted for seeking registration under section 12A and which has not been decided till date.

REFERRED :

FAVOUR : Matter remanded

A.Y. :

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