W.P. No. 30035 of 2011 IN HIGH COURT OF JUDICATURE AT MADRAS DATED : 23.01.2020 CORAM HONOURABLE MR.JUSTICE C.SARAVANAN W.P. No. 30035 of 2011 and M.P. No. 1 of 2011 Southern India Chamber of Commerce and Industry, Indian Chamber Building, No.6, Esplanade Road, Chennai 600 108. Represented by its Secretary, S. Raghavan Petitioner Vs 1. Deputy Director of Income tax, (Exemptions)-II, 124, M.G. Road, Chennai 600 034. 2. Director of Income tax, (Exemptions)-II, 124, M.G. Road, Chennai 600 034. ... Respondents Prayer: Petition filed under Article 226 of Constitution of India to issue Writ of Certiorarified Mandamus, to call for records of Second Respondent and quash Impugned Notice issued under Section 12AA(3) of Act in DIT(E) No.124 III/12AA(3)/2011-2012 dated 01- 11-2011 for assessment year 2009-2010 and direct Second http://www.judis.nic.in 1/6 W.P. No. 30035 of 2011 Respondent to drop proceedings initiated for withdrawing registration granted under Section 12AA of Act. For Petitioner : Mr. R. Venkat Narayanan for Mr. Subbraya Aiyar & Ramamani For Respondents : Mr. D. Prabhu Mukunth Arun Kumar Junior Standing Counsel for Mrs. Hema Muralikrishna Senior Standing Counsel ORDER This writ petition has been filed by Petitioner, praying for issuance of Writ of Certiorarified Mandamus, to call for records of Second Respondent and quash Impugned Notice issued under Section 12AA(3) of Act in DIT(E) No.124 III/12AA(3)/2011-2012 dated 01-11-2011 for assessment year 2009-2010 and direct Second Respondent to drop proceedings initiated for withdrawing registration granted under Section 12AA of Income Tax Act, 1961. 2. Petitioner has challenged impugned notice dated 01.11.2011 seeking to revoke registration granted to Petitioner under Section 12A of Income Tax Act, 1961 under Sub-section (a) (3) of Income Tax Act, 1961 (in short IT Act, 1961). Petitioner was originally given certificate under Section 12A(a) (3) of IT Act, http://www.judis.nic.in 1961 as early as 07.12.1982. 2/6 W.P. No. 30035 of 2011 3. main income of Petitioner appears to be from issue of Certificate of origin, Certificate of invoice, Electricity Charges, Conservancy charges, Security Charges and rent from commercial complexes. It is under these circumstances, notice was issued to Petitioner under Section 148 of IT Act, 1961 dated 24.02.2011 to reopen assessment and parallely notice was issued to cancel registration granted to Petitioner. As far as assessment proceedings are concerned, issue went up to Tribunal and Tribunal by order dated 17.04.2015 has ultimately come to conclusion that activity of Petitioner is charitable in nature. (Order dated 17.04.2015 in I.T.A. Nos. 2733 & 2734/Mds/2014). 4. learned counsel for Petitioner has relied on following three cases which appear to be in favour of Petitioner. (a) decision of Karnataka High Court in case of Director of Income Tax (Exemption) Vs Karnataka Industrial Area Development Board, 2015 229 TAXMAN 0539 (Karnataka). (b) decision of this Court in case of Tamil Nadu Cricket Association Vs Director of Income Tax (Exemptions), 2014 265 CTR 0277 (Mad) : 2014 98 DTR 0299 (Mad) : 2014 221 TAXMAN 0275 and http://www.judis.nic.in 3/6 W.P. No. 30035 of 2011 (c) decision of this Court in case of CIT Vs Sarvodaya Ilakkiya Pannai, 2012 250 CTR 0332 : 2012 343 ITR 0300. 5. I am of view that Petitioner should participate in proceeding before Second Respondent who issued notice seeking to cancel registration granted under Section 12 (A) (a) of IT Act, 1961. 6. Second Respondent shall therefore consider order passed by Tribunal in Petitioner's own case and decisions which have been cited above by Petitioner while disposing impugned proceedings. Since dispute is pertaining to year 2011, Second Respondent is directed to dispose said proceedings within period of three months from date of receipt of copy of this order. It is needless to state that Petitioner shall be heard before such orders being passed. This Writ Petition stands disposed of. No costs. Consequently, connected miscellaneous petition is closed. 23.01.2020 arb Index: Yes/ No http://www.judis.nic.inInternet : Yes/No 4/6 W.P. No. 30035 of 2011 To 1. Deputy Director of Income tax, (Exemptions)-II, 124, M.G. Road, Chennai 600 034. 2. Director of Income tax, (Exemptions)-II, 124, M.G. Road, Chennai 600 034. http://www.judis.nic.in 5/6 W.P. No. 30035 of 2011 C. SARAVANAN, J. arb W.P. No. 30035 of 2011 and M.P. No. 1 of 2011 23.01.2020 http://www.judis.nic.in 6/6 Southern India Chamber of Commerce and Industry v. Deputy Director of Income-tax, (Exemptions)-II, Chennai / Director of Income-tax, (Exemptions)-II, Chennai