SAKTHI TRUST,TRICHY vs. CIT, EXEMPTIONS, CHENNAI

आदेश / O R D E R PER ABY T. VARKEY, JM: These are appeals filed by the assessee-Trust against the order of the Learned Commissioner of Income Tax (Exemption) Chennai, (hereinafter referred to as ‘Ld. CIT(E)’) dated 29.12.2025 by which he has rejected the application filed by the assessee seeking registration u/s.12A(1)(ac)(ii) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) and also rejecting the application seeking approval under Clause 80G(5)(iv)B of the Act.

ITA No.1127 & 1128/Chny/2026 (AY 2025-26) Sakthi Trust :: 2 :: 2. At the outset, Ld. AR of the assessee drawing our attention to Page No.6 of the impugned order passed u/s.12A wherein the Ld. CIT(E) notes that the assessee has not complied with his show cause notice (SCN) issued on 23.10.2025, and failed to furnish documents called for/spelled out at Page 6; and likewise, in the impugned order passed u/s 80G, the Ld. CIT(E) notes that the assessee didn’t comply with his show cause notice issued on 23.10.2025, and failed to furnish documents called for/spelled out at Page 4 to 6 of the impugned order. Hence, the Ld. CIT(E) having found that assessee didn’t reply to his SCN, also noted that assessee neither bothered to furnish the mandatory details called for by him to process the ibid applications nor objected to the show cause notice for rejecting the applications filed for registration u/s.12A as well as approval under Section 80G, has passed the impugned orders rejecting the applications seeking registration u/s.12A and approval u/s.80G by passing the ex parte order. Hence, he pleaded for one more opportunity before the Ld. CIT(E) contending that the omission to respond was not deliberate but due to the glitches in the internet because of which the notices issued by the Ld. CIT(E) had gone to the spam account of the assessee-Trust, hence, pleaded for one more opportunity before the Ld. CIT(E).

ITA No.1127 & 1128/Chny/2026 (AY 2025-26) Sakthi Trust :: 3 :: comply, because of which the Ld. CIT(E) is noted to have passed the impugned order ex parte qua the assessee-Trust. In this regard, it is noted that the Ld. CIT(E) while proceeding ex parte qua the application for registration u/s 12A is noted to have observed that the assessee even after lapse of months’ time (07.12.2025), failed to furnish the relevant details nor objected to the show cause notice issued proposing rejection of the said application. Regarding application for approval u/s 80G, the Ld CIT(E) is noted to have issued show cause proposing rejection of the same inter alia on ground of delay/belated filing of application, which SCN didn’t elicit any response. Hence, the Ld CIT(E) proceeded to reject the application u/s.12A/80G ex parte qua the assessee. Before us, the Ld AR pleaded for one more opportunity before the Ld. CIT(E) contending that the omission to respond wasn’t deliberate but due to the glitches in the internet because of which the notices issued by the Ld. CIT(E) had gone to the spam account of the assessee-Trust, hence, pleaded for one more opportunity to produce the relevant details/documents before the Ld. CIT(E). The assessee’s assertion of not having received the notices couldn’t be disproved, and moreover, its common knowledge that at times due to glitches mail goes to spam account, which is plausible. In this background, we having found that the Ld. CIT(E) has passed the impugned orders without giving proper opportunity to assessee-Trust, we are inclined to give one more opportunity to the assessee-Trust and hence set aside the impugned orders of Ld CIT(E) and restore both applications back to his file for passing orders in accordance to law. And the Ld CIT(E) while considering the application for approval u/s 80G, may consider the decision of this Tribunal in the case of Aalayam Vs. The Commissioner of Income Tax (Exemptions), Chennai [ITA No.1012/Chny/2025] in accordance to law. The assessee is directed to be

ITA No.1127 & 1128/Chny/2026 (AY 2025-26) Sakthi Trust :: 4 :: diligent and file relevant details, documents/written submissions before the Ld.CIT(E), without fail.

Order pronounced on the 20th day of August, 2026, in Chennai. Sd/- Sd/- (एबी टी. वक�) (एस. आर. रघुनाथा) (ABY T. VARKEY) (S.R.RAGHUNATHA) �या�यक सद�य/JUDICIAL MEMBER लेखा सद�/ACCOUNTANT MEMBER चे�नई/Chennai, �दनांक/Dated: 20th August,, 2026. YS आदेश क� ��त�ल�प अ�े�षत/Copy to: 1. अपीलाथ�/Appellant 2. ��थ�/Respondent 3. आयकरआयु�/CIT, Chennai / Madurai / Salem / Coimbatore. 4. िवभागीय�ितिनिध/DR 5. गाड�फाईल/GF YASHVI Digitally signed by YASHVIR R SINGH Date: SINGH 2026.09.03 12:36:52 -07'00'