IN THE INCOME TAX APPELLATE TRIBUNAL JABALPUR BENCH “DB”, JABALPUR BEFORE SHRI KUL BHARAT, VICE PRESIDENT AND SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER I.T.A. No.235/JAB/2025 Assessment year: 2015-16 Ramjidas Budhraja Charitable Vs. The Income Tax Officer, Trust Exemption Pandurna, Chhindwara (MP)- Jabalpur (MP)-482001.

480334.

PAN:AAATR8939D (Appellant) (Respondent)

Appellant by Shri G. N. Purohit, Advocate Respondent by Shri Rahul Padha, JC-2

O R D E R

PER ANADEE NATH MISSHRA: A.M.

(A) This appeal vide I.T.A. No.235/JBP/2025 has been filed by the assessee for assessment year 2015-16 against impugned appellate order dated 14.07.2025 (DIN & Order No.ITBA/APL/S/250/2025- 26/1078443117(1) of Ld. Addl/JCIT Commissioner of Income Tax (Appeals), the First Appellate Authority. The grounds of appeal are as under:

“1. The learned CIT appeal has erred in law and on facts of the case, in not permitting the claim of deduction for accumulation of income of rupees 39,00,000/- under section 11(2) of the Income Tax Act. Necessary compliance as per rules was made by the assessee, and form number 10 was submitted before the assessing officer within time. The claim should have been allowed.

2. The applicant may be allowed to raise any other ground or grounds of appeal at the time of hearing of appeal if arises.”

(B) In this case, assessment order dated 10.09.2018 was passed by the Assessing Officer (“AO”, for short) u/s 147/143(3) of Income Tax Act, 1961 (“Act”, for short). The assessment proceedings were initiated u/s 147 of I.T. Act and notice u/s 148 of I.T. Act was issued to the assessee. The proceedings u/s 147 of I.T. Act came to conclusion with the aforesaid assessment order dated 10.09.2018 whereby the assessee’s total income was assessed at Rs.49,92,978/- as against returned income of Rs. Nil. The assessee’s appeal against the aforesaid assessment order was dismissed by the Ld. CIT(A) vide impugned appellate order dated 14.07.2025. The relevant portion of the order of the Ld. CIT(A) is reproduced below: -

4. During the appellate proceedings, the hearing notices were issued on 01.05.2019, 06.12.2019, 02.02.2021, 15,09.2023 and 20.05.2025. In response thereto, the appellant furnished written submissions on 11.02.2021, 17,09,2023, and 21.05.2025. In its reply, the appellant has made the following submissions: -

The appeal of the assessee named above is fixed for hearing before your Honour. In addition to the oral submissions to be made during the course of personal hearing, the assessee desires to make the following written submissions: -

1. The brief facts giving rise to this appeal are that assessee is a charitable trust running educational institutions under the name and style of Ram Shanti Vidya Mandir, Ram Shanti College of Higher Education and Ram Shanti D.El.Ed. College. The separate books of accounts are maintained for each institution and they are consolidated in the books of account and a final balance-sheet and income and expenditure account is made in the hand of the trust. The return of income was submitted on 30.10.2015. The return was processed by Central Processing Centre under Section 143(1) of the Income Tax Act on 20.10.2016. A demand of Rs. 18,93,058/- was raised. Later on, a 143(2) notice was issued on 02.01.2018 fixing the case on 15.01.2018 which was obviously barred by limitation and, therefore, the Assessing Officer issued a notice under Section 148 on 28.03.2018 that was served on the assessee on 31.03.2018. In compliance to said notice the assessee submitted acknowledgement of return for assessment year 2015-2016 by speed post on 14.04.2018. The assessee had also requested the learned Assessing Officer to provide the copy of reasons recorded for reopening of the assessment in view of the Apex Court judgment in the case of G.K.N. Drive Shaft Limited vs. C.I.T. However, no copy of reasons was provided by the Assessing Officer. In this case it is pertinent to mention here that in the assessment order learned Assessing Offi