Mr. A.n. Ray, Advocate v. Commissioner Of Income Tax (Exemption), Aaykar Bhawan, Hyderabad & Others

IN THE HIGH COURT OF ORISSA AT CUTTACK W.P.(C) No.5277 of 2024 ….. M/s. Science Education Foundation, Khurda Petitioner Mr. A.N. Ray, Advocate Vs. ….. Commissioner of Income Tax (Exemption), Aaykar Bhawan, Hyderabad & Others Opposite Parties Mr. S. Mohanty, Standing Counsel, I.T. CORAM: DR.JUSTICE B.R. SARANGI MR. JUSTICE G.SATAPATHY Order No. 01. ORDER07.03.2024 This matter is taken up by hybrid mode. 2. Mr. Aditya Narayan Ray, learned counsel for the Petitioner- assessee and submits that the present writ petition may be disposed of in terms of the order dated 24.07.2023 passed in the similar matter i.e., W.P.(C) No.22474 of 2023. 3. Mr. Aditya Narayan Ray, learned counsel appearing on behalf of the Petitioner further submits that the Petitioner filed application for condonation of delay for late filing of Form-10B pertaining to the Assessment Year 2020-21. The application was rejected by the impugned order dated 05.12.2023. He prays to set aside the impugned order and direct the Opposite Parties-Revenue to accept the Form-10B. 4. Mr. Subas Mohanty, learned Standing Counsel for the Opposite Parties-Income Tax and justifies the impugned order. 5. Perused the impugned order. On query from this Court, Mr. Aditya Narayan Ray, learned counsel appearing on behalf of the Petitioner demonstrate that under cover of letter dated 27.10.2023 under Annexure-5, certain requisitions were made for furnishing information. The Petitioner by letter dated 04.11.2023 under Annexure-6 furnished the information. The requisition and compliance were both digitally done. He then draws attention to impugned order to submit that there is no dispute regarding information received by opposite parties-Revenue. 6. For ready reference, first paragraph of the impugned order is reproduced hereunder:- “With reference to the assessee’s application for condonation of delay in filing Form 10B for the A.Y. 2020-21, cited under reference 1 above, it is to state that the assessee has filed Form 10B belatedly. The assessee has been requested to furnish certain information vide above cited reference 2, justifying its application for condonation of delay. However, the assessee has not submitted sufficient reason which prevented the assessee from filing the same, within the due date.” 7. In the requisition for information under Annexure-5, various information were sought for which also included query on reason for delay in filing Form-10B for Assessment Year 2020-21 (F.Y. 2019-20). 8. Perusal of Annexure-6 dated 04.11.2023, it appears that the Secretary-cum-Treasurer of Science Education Foundation has furnished explanation citing reason for the delay in uploading the Form-10B and prayed for condonation. Though, the explanation is stated to have been furnished to the Commissioner of Income Tax (Exemption), Income Tax Department, Hyderbad, the same has not been considered in its proper prospective by assigning reason, which is one of the essential facets of principles of natural justice. However, vide order dated 05.12.2023 passed by the CIT (Exemption), Hyderbad, the application of the Petitioner-Assessee for condonation of delay under Section 119(2)(b) of the Income Tax Act in filing Form-10B for the Assessment Year 2020-21 stood rejected. 9. In the circumstances, the order dated 05.12.2023 under Annexure-7, being without reason as is apparent from the record, stands set aside and it is directed that the application for condonation of delay is restored for reconsideration by the Commissioner of Income Tax (Exemption), Hyderbad. Needless to say that the said authority before taking decision may afford a reasonable opportunity of hearing to the assessee. 10. With the aforesaid observation and direction, the writ petition stands disposed of. (DR. B.R. SARANGI) JUDGE (G.SATAPATHY) JUDGE S.Sasmal Signature Not Verified stood rejected. 9. In the circumstances, the order dated 05.12.2023 under Annexure-7, being without reason as is apparent from the record, stands set aside and it is directed that the application for condonation of delay is restored for reconsideration by the Commissioner of Income Tax (Exemption), Hyderbad. Needless to say that the said authority before taking decision may afford a reasonable opportunity of hearing to the assessee. 10. With the aforesaid observation and direction, the writ petition stands disposed of. (DR. B.R. SARANGI) JUDGE (G.SATAPATHY) JUDGE S.Sasmal Signature Not Verified Digitally SignedSigned by: SUBHASMITA SASMALDesignation: Jr. StenographerReason: AuthenticationLocation: High Court of OrissaDate: 07-Mar-2024 17:48:07