Registration Application Rejection U/S 12A: Kerala HC Orders Assessee to Appear Before IT Commissioner

TJ Vinod, the assessee, has been directed by the Kerala High Court to appear before the Commissioner of Income Tax regarding the rejection of their application for registration under Section 12A of the Income Tax Act, 1961.

In the present writ petition, the petitioner seeks to challenge the order dated 18.9.2023. This order rejected the petitioner’s application for registration under Section 12A of the Income Tax Act, 1961. The rejection was based on the petitioner’s failure to appear in response to the hearing notice dated 17.7.2023 and their failure to file a reply to the show cause notice dated 9.8.2023.

The petitioner’s counsel argued that due to compelling conditions, the petitioner couldn’t respond through filing to the show cause notice dated 9.8.2023 or appear in response to the hearing notice dated 17.7.2023. The counsel further stated that the petitioner was equipped with all the relevant documents supporting their case for registration under Section 12A of the Income Tax Act.

The council requested that the petitioner be given another opportunity to produce the relevant documents and make submissions before the Commissioner of Income Tax (Exemptions), Ernakulam.

Justice Dinesh Kumar Singh, a Single Bench of the court, observed that taking into account the aforementioned facts, the petitioner is directed to appear before the Commissioner of Income Tax (Exemptions), Ernakulam on 5.1.2024. The petitioner must bring all the relevant documents before the Commissioner.

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The Commissioner of Income Tax (Exemptions) has the authority to request any additional documents, if necessary. After hearing the petitioner, the Commissioner will make appropriate decisions regarding the petitioner’s application for registration under Section 12A of the Income Tax Act.

The court noted that if the petitioner fails to appear on 5.1.2024 or fails to present the required relevant documents as directed by the Commissioner, there will be no further opportunities offered. In such conditions, the order being challenged in this court will remain valid.