2012 (10) TMI 1178 - HC - Income Tax

Summary

Issues involved: Condonation of delay in filing appeal, application for registration u/s 12A, consideration of public interest in condonation of delay, fresh assessment for charitable activity exemption u/s 11 and 12.

Condonation of delay in filing appeal: The appellant sought condonation of delay of 750 days in filing an appeal against the Tribunal's order dated 3.4.2009, citing a bonafide mistake by the department. The appellant referenced Supreme Court decisions to support the contention for condonation.

Consideration of public interest in condonation of delay: The respondent's counsel argued against condonation of delay, citing Supreme Court decisions emphasizing that public interest should not always be the dominant criteria for condonation. However, the Court noted a liberal approach for condonation of delay where public interest is involved, as per the Supreme Court's decision in West Bengal Infrastructure Development case.

Fresh assessment for charitable activity exemption u/s 11 and 12: The Court, after considering submissions from both counsels, remanded the matter to the Assessing Officer for a fresh assessment. This allowed both parties to establish whether the activities of the assessee qualify as charitable and are eligible for exemption under Sections 11 and 12, based on the facts and material presented.

Conclusion: The Court allowed the application for condonation of delay and condoned the delay. The appeal was partly allowed, with the matter remanded for a fresh assessment regarding the charitable activity exemption under Sections 11 and 12.