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TMI Blog2017 (2) TMI 394X X X X Extracts X X X X X X X X Extracts X X X X ..... d (hereinafter referred to as "Tribunal") in Income-tax Appeal No. 180(Alld)/2006. 3. This appeal was admitted on following two substantial questions of law : (i) Whether the Income-tax Appellate Tribunal was right in law and on facts of the case in condoning delay in filing application for registration under section 12A of the 1961 Act ? (ii) Whether Income-tax Appellate Tribunal was right in law and on facts of the case in directing to treat the assessee-society as registered under section 12A(2) of 1961 Act, with effect from April 1, 1973 ? 4. The facts in brief necessary for understanding the dispute and answer the aforesaid questions are as under. 5. The Allahabad High School Society (hereinafter referred to as "AHS Society") cl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... accounts of the trust or institution for that year have been audited by an accountant as defined in the Explanation below sub- section (2) of section 288 and the person in receipt of the income furnishes along with the return of income for the relevant assessment year the report of such audit in the prescribed form duly signed and verified by such accountant and setting forth such particulars as may be prescribed." (emphasis added) 7. Before the word "Commissioner" occurring in section 12A(a) and proviso thereto, words "Chief Commissioner or" were inserted by the Direct Tax Laws (Amendment) Act, 1987, with effect from April 1, 1988. 8. Section 12A was omitted by the Direct Tax Laws (Amendment) Act, 1987, with effect from April 1, 1989, a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rted before the word "Commissioner" occurring in section 12A(a) and proviso thereto by the Direct Tax Laws (Amendment) Act, 1987 with effect from April 1, 1988 were omitted by the Finance Act, 1999, with effect from June 1, 1999. 12. The words "whichever is later" occurring in section 12A(a) were substituted with "whichever is later and such trust or institution is registered under section 12AA" by the Finance (No. 2) Act, 1996 with effect from April 1, 1997. 13. In section 12A, clause (c) was inserted by the Finance Act, 2001 with effect from April 1, 2002, which read as under : "(c) where the total income of the trust or institution as computed under this Act without giving effect to the provisions of sections 11 and 12 exceeds one cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der in writing registering the trust or institution ; (ii) shall, if he is not so satisfied, pass an order in writing refusing to register the trust or institution, and a copy of such order shall be sent to the applicant : Provided that no order under sub-clause (ii) shall be passed unless the applicant has been given a reasonable opportunity of being heard. (2) Every order granting or refusing registration under clause (b) of sub-section (1) shall be passed before the expiry of six months from the end of the month in which the application was received under clause (a) of section 12A." 17. Words "Chief Commissioner or" occurring in section 12AA(1) were omitted by Finance Act, 1999, with effect from June 1, 1999. 18. Further, sub-s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it stood before its amendment by the Finance (No. 2) Act, 1996 (33 of 1996)]" were inserted. 22. A separate application was filed for registration of Girls High School and College in the year 1999 but no explanation was furnished for delay, hence vide order dated September 19, 2000 registration under section 12AA was granted to Girls High School and College with effect from April 1, 1999, i.e., from first day of financial year in which application is made. Thereafter, an application on behalf of the High School Society itself was filed on September 28, 2004 stating that the society is parent body of both educational institutions and both are being run by it, hence, under a mistake it got registration for individual educational institution, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ut there was no justification on the part of the Tribunal to refuse registration to the society with retrospective effect, i.e., from April 1, 1973. 24. We find no merit in the submission. This argument ignores and overlooked the fact that such a registration would cause overlapping of period during which two institutions were enjoying registration with effect from different periods and that will create complication in the matter. 25. It is submitted that power to condone the delay is vested in Commissioner which has to be exercised by recording reasons but the Tribunal itself has condoned delay getting itself influenced with the fact that it is a matter of educational institution. We find that for condonation of delay, purpose or objecti ..... X X X X Extracts X X X X X X X X Extracts X X X X
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