MUFTI KIFAYATULLAH MEMORIAL TRUST,MUMBAI vs. CIT(EXEMPTION), MUMBAI

Ld. Counsel for the assessee, at the outset, submitted that there is a delay of 1102 days in filing the appeal before the Tribunal and the delay is neither deliberate nor intentional and has occurred due to circumstances beyond the control of the assessee. Learned counsel for the assessee further submitted that the assessee furnished an application for condonation of delay along with an affidavit of the certified Account Technician, who was registered as an Income Tax Practitioner, stating the reasons for the delay in filing the appeal.

The Ld. Counsel for the assessee referring to the affidavit filed by the Income Tax Practitioner submitted that the Income Tax Practitioner filed Form 10AB on the Income Tax portal for approval u/s 80G of the Act on behalf of the assessee trust and obtained provisional registration certificate in Form 10AC, dated 22.06.2022, which was valid upto assessment year 2025-26. Thereafter, the requisite documents as called for by the learned CIT(E) were not furnished by the assessee-trust and the fact of the details sought by the learned CIT(E) was neither communicated to the Assessee trust nor did the practitioner respond to the same. Further referring to paragraph 6 of the affidavit, the Ld. Counsel for the assessee submitted that the practitioner has deposed that he failed to inform the assessee-trust even about the rejection order passed by the learned CIT(E) vide 2 order dated 28.10.2022. Therefore, the delay in filing the appeal is neither deliberate nor intentional but for the reasons explained by the assessee in the petition for condonation of delay and also the accompanying affidavit of the Income Tax Practitioner, who failed to respond to the notices issued by the learned CIT(E) as well as failed to bring to the notice of the assessee trust about such notices and also the rejection order passed by the learned CIT(E). Therefore, in the interest of justice, the delay in filing the appeal be condoned.

On hearing both the parties and perusing the petition for condonation of delay along with the affidavit and the contents therein, we find that the assessee was prevented by reasonable cause in filing the appeal in time. Therefore, the delay in filing the appeal by the assessee is condoned and the appeal is admitted.

Coming to the merits of the case of the assessee, we find that the learned CIT(E) rejected the approval u/s 80G only for the reason that the assessee could not respond to the notice and furnish relevant details, as the assessee had explained that the non-response from the assessee’s side was only due to the Income Tax Practitioner not informing the assessee about the notice issued by the learned CIT(E), it would be appropriate to restore the issue to the file of the learned CIT(E) for fresh adjudication in accordance with law, after providing adequate opportunity to the assessee. Thus, we restore this appeal to the file of the learned CIT(E), who shall consider the application of the Assessee for approval u/s 80G afresh and pass order in accordance with law after providing adequate opportunity to the assessee.

In the result, the appeal of the assessee is allowed for statistical purposes.