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TMI Blog2020 (12) TMI 41X X X X Extracts X X X X X X X X Extracts X X X X ..... r (E) about the objects of the assessee being charitable and genuineness of the activities of the assessee. At the stage of granting the registration under section 12AA the ld. Commissioner (E) is not supposed to examine the correctness of the claim of expenditure but the requisite details of the employees of the assessee is a relevant information to arrive at the conclusion that the activities of the assessee are genuine. If the assessee is not having the requisite number of teachers and other staff required for running the schools and colleges, then it cannot be said that the activities of the assessee are genuine. Therefore, those decisions cannot restrict the scope of examination on the point of genuineness of the activities. Thou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... surmises conjectures. Due to the prevailing situation of COVID 19 pandemic, the hearing of the appeal was concluded through Video Conference. 2. The assessee is a society registered under Rajasthan Societies Registration Act, 1958. The main object of the assessee society is to impart education. The assessee is stated to have running schools/colleges in the name of Vidhyasthali Public School, Vidhyasthali Public ITI College and Vidhyasthali Teacher Training College in District Alwar. The assessee filed application in Form 10A on 19.03.2019 for registration under section 12AA of the IT Act. The ld. Commissioner (Exemptions) rejected the application of the assessee while passing the impugned order. The ld. A/R of the assessee has subm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... copies of the Trust Deed, Registration of the Society etc. along with the application. Therefore, there was no requirement for the assessee to submit the original of these documents. As regards the second objection of the reason for rejecting the application, the ld. A/R has submitted that though the assessee submitted all the details required by the ld. Commissioner (E), however, the same were not accepted due to the reason that it was not furnished in the form as provided at page 1 of the order. The AO while passing the scrutiny assessment under section 143(3) for the assessment year 2017-18 has accepted the salary payments made by the assessee, therefore, there was no question of doubting the genuineness of the activities of the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cts of the assessee as charitable and genuineness of the activities, the assessee was directed to produce the original documents for verification as well as the details of the staff/employees of the assessee, salary payment and PF/ESI deduction. The ld. Commissioner (E) has reproduced the proforma under which the information was required to be furnished by the assessee. Since the assessee has not produced the requisite original documents for verification as well as the details as asked for by the ld. Commissioner (E) to verify the genuineness of the activities, therefore, the ld. Commissioner (E) has rejected the application on the reasons as discussed in para 4 to 6 as under :- 4. As discussed above, the applicant did not submit o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... filing the original documents. We do not accept this contention of the ld. A/R of the assessee due to a simple reason that Rule 17A of the IT Rules provides the procedure and mode of submitting the application in Form 10A for seeking registration under section 12AA of the IT Act but the said rule does not restrict the jurisdiction of the Competent Authority to verify the documents produced by the assessee with the original ones. Therefore, in the process of examination of the application of the assessee, the Competent Authority can very well ask the applicant to produce the original documents for verification and his satisfaction. Therefore, non production of original documents as required by the ld. Commissioner (E) as well as not filing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is not having the requisite number of teachers and other staff required for running the schools and colleges, then it cannot be said that the activities of the assessee are genuine. Therefore, those decisions cannot restrict the scope of examination on the point of genuineness of the activities. Though the assessee has failed to produce the requisite details as well as the original documents for verification of the ld. Commissioner (E), however, in the interest of justice, we grant one more opportunity to produce the requisite information/details as well as the original documents before the ld. Commissioner (E) for examination and verification. Accordingly, the impugned order of the ld. Commissioner (E) is set aside and the matter is rem ..... X X X X Extracts X X X X X X X X Extracts X X X X
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