SUPPORT MULTIPURPOSE SOCIETY,NASHIK vs. COMMISSIONER OF INCOME-TAX -EXEMPTION, PUNE

Tersely stated facts borne out of the case records are; the appellant society has e-filed an application in Form No 10AB on 02/05/2022 seeking grant of recognition/registration u/s 80G(5)(iii) under the category of charitable society / institution. The Ld. CIT(E) in-order to verify the objects, genuineness of activities and to ascertain the fulfilment of conditions for granting registration u/s 80G(5) of the Act, was put the appellant to a notice dt. 06/10/2022 thereby calling upon additional documents. Examining the submission, the Ld. CIT(E) without further notice, vide para 5 rejected the application on failure substantiate the genuineness of activities with the credible evidences by the appellant. Aggrieved by the said rejection, the appellant society is in appeal alleging the action of Ld. CIT(E) as unlawful. ITAT-Pune Page 2 of 4

We have heard the rival contentions; and subject to the provisions of rule 18 of ITAT Rules, 1963 perused the material placed on record.

Apparently, the preliminary submission of the appellant did not productively prove its eligibility and claim for grant of approval for 80G, as a consequence the Ld. CIT(E) without further opportunity to the appellant rejected the application in violation of principle of natural justice as directed by Clause (ii)(b)(B) of 2nd proviso to section 80G(5) of the Act. Thus in our view, the action of the Ld. CIT(E) suffered from sufficiency of reasonable opportunity to the appellant to refute the rejection vis-à-vis to comply with the requirements sought. It shall be worthy to underlined that the opportunity of being heard should be real, reasonable and effective and same should not be empty formalities, it should not be a paper opportunity, the doctrine of natural justice is a facet of fair play in action and no person shall be saddled with a liability without being heard. ITAT-Pune Page 3 of 4

For the aforestated reason, without commenting on the merits of the case, we deem it fit to remand the matter back to the file of Ld. CIT(E) for according three effective opportunities to the appellant society to refute the rejection vis-à-vis to comply with the requirements sought.

In result, the appeal of the appellant is ALLOWED FOR STATISTICAL PURPOSE as above. In terms of rule 34 of ITAT Rules, the order pronounced in the open court on this Thursday 08th day of June, 2023.