Ramoji Foundation, R.R.Dist vs Assessee

This appeal is preferred by the assessee against the order of the DIT (E), Hyderabad dated 29.01.2013 in rejecting the assessee's application for registration u/s 80G(5)(vi) of the I.T. Act, 1961.

2. There is a delay of 652 days in filing the appeal before the Tribunal. The assessee has filed an affidavit of the Trustee and an application therewith explanining the reasons for the delay. In the said application it is mentioned that the DIT (E) had rejected the assessee's applications for registration both u/s 12AA as well as 80G(5)(vi) of the Act and that assessee had preferred an appeal before the Tribunal against the order passed by the DIT (E) in ITA No.400/Hyd/2013 against rejection of registration u/s

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12AA of the Act and the Tribunal vide its order dated 28.6.2013 had set aside the issue to the file of the DIT (E) for reconsideration of the assessee's application for approval u/s 12AA of the Act. The DIT (E) while giving effect to the order of the ITAT has granted registration u/s 12AA of the Act. However, the DIT (E) refused to grant approval u/s 80G(5)(vi) of the I.T. Act. Assessee, therefore, preferred a miscellaneous application in ITA No.400/Hyd/2013 under the bonafide belief that the remedy is a correct one. The Tribunal dismissed the same holding that the assessee ought to have filed separate appeal for registration u/s 80G(5)(vi) of the I.T. Act and therefore, assessee has filed the present appeal on 20.01.2015 resulting in delay of 652 days in filing the appeal. The ld Counsel for the assessee submitted that the delay in filing the appeal was neither wanton or wilful but was due to the bonafide belief of the assessee that the appeal filed against denial of registration u/s 12AA of the Act would also cover the assessee's grievance against the denial of registration u/s 80G(5)(vi) of the act. He therefore, prayed for condonation of delay and consideration of the appeal on its merits.

3. The ld DR was also heard.

4. After considering the material on record, we are inclined to condone the delay of 652 days as we are satisfied that the delay is not willful or wanton, but is due to the reasonable belief of the assessee. The delay is therefore, condoned.

5. Coming to the merits of the appeal of the assessee, we find that the DIT (E) has rejected the assessee's prayer for registration

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u/s 80G(5)(vi), on the ground that the registration sought for u/s 12AA of the Act was rejected. However, we find that the DIT (E) has granted registration u/s 12AA of the Act pursuant to the order of the Tribunal. Since the initial objection for grant of registration u/s 80G(5)(vi) is now gone, the assessee's application needs reconsideration. In view of the same, we remand this issue to the file of the DIT (E) for de novo reconsideration in accordance with law.

6. In the result, assessee's appeal is treated as allowed for statistical purposes.

Order pronounced in the Open Court on 24th April, 2015.

Sd/- Sd/- (P.M. Jagtap) (P. Madhavi Devi) Accountant Member Judicial Member

Hyderabad, dated 24th April, 2015.

Vnodan/sps Copy to:

1. Ramoji Foundation, Ramoji Film City, Ranga Reddy Distt.

2. Director of Income Tax (Exemptions), 3rd Floor, Annexe Building, Aayakar Bhavan, Basheerbagh, Hyderabad 04

3. The ADIT (E) II Hyderabad

4. The DR, ITAT, Hyderabad

5. Guard File

By Order

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