BHOOMI SELFHELP FOUNDATION,KOLKATA vs. C.I.T. - EXEMPTION, KOLKATA

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ITA 2246/KOL/2026Status: DisposedITAT Kolkata20 August 20265 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal condoned the delay in filing the appeal and set aside the order of the CIT(E). The matter was remanded back to the CIT(E) to decide the applications afresh after providing an opportunity of being heard to the assessee and considering the filed replies.

What were the facts?

The assessee filed applications for registration under Section 12A and 80G of the Income Tax Act. The CIT(E) rejected the applications citing non-furnishing of complete replies to notices seeking clarifications. The assessee contended that replies were filed but overlooked by the CIT(E).

What were the issues?

Whether the CIT(E) was justified in rejecting the applications for registration without properly considering the assessee's submissions and affording a proper opportunity of being heard.

Which sections of the Income-tax Act were involved?

Section 12A,Section 80G

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, KOLKATA ‘A’ BENCH AT KOLKATA

Before: SHRI GEORGE MATHAN & SHRI RAKESH MISHRA

PER RAKESH MISHRA, ACCOUNTANT MEMBER:

These two appeals filed by the assessee are against the separate orders of the Commissioner of Income Tax (Exemption), Kolkata [hereinafter referred to as Ld. 'CIT(E)'] passed in respect of registration u/s 12A and 80G of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') dated 26.12.2025. Since the issues in both the appeals are related, they were heard together and are being decided vide this common order for the sake of convenience and brevity.

1.

1 The Registry has informed that the appeal is barred by limitation by 109 days. The assessee has filed an affidavit along with a petition for condonation of delay explaining the reasons that the assessee was suffering from several medical challenges and other serious medical ailments and was under the treatment of a doctor, due to which the appeal could not be filed within the due time. After perusing the same, we are satisfied that the assessee had a reasonable and sufficient cause and was prevented from filing the instant appeal within the statutory time limit. We, therefore, condone the delay and admit the appeal for adjudication.

2.

The assessee is in appeal before the Tribunal raising the following grounds of appeal: I. ITA No. 2245-KOL-2026:

“1. That the Learned CIT(Exemption), Kolkata was not justified in passing the rejection order without verifying the submissions made and without affording proper opportunity of being heard.

2.

That on the facts and circumstances of the case, Learned CIT(Exemption), Kolkata was not justified in rejecting the application filed by the appellant in Form No-10AB for the purpose of grating registration u/s 12A(ac)(iii) of the IT Act, 1961

3.

That the appellant craves leave to add, alter, amend or modify any ground or grounds of appeal before or at the time of hearing.” II. ITA No. 2246-KOL-2026:

“1. That the Learned CIT(Exemption), Kolkata was not justified in passing the rejection order without verifying the submissions made and without affording proper opportunity of being heard.

2.

That on the facts and circumstances of the case, Learned CIT(Exemption), Kolkata was not justified in rejecting the application filed by the appellant in Form No-10AB for the purpose of grating registration u/s 80G((5)(iv)(B) of the IT Act, 1961

3.

That the appellant craves leave to add, alter, amend or modify any ground or grounds of appeal before or at the time of hearing.”

3.

We shall first take up ITA No. 2245/KOL/2026 for adjudication.

Brief facts of the case are that the assessee had filed an application on 05.05.2025 in Form No. 10AB for registration u/s 12A(1)(ac)(iii) of the Act. The Ld. CIT(E) issued multiple notices seeking some clarifications including details of commencement of activity, to file a separate undertaking for no violation of law, and the reasonable cause for not ITA No(s). 2245 & 2246/KOL/2026 Assessment Year(s) - NA making the application within the stipulated time. The Ld. CIT(E) noted that the assessee had failed to furnish complete replies in response to the final notices, therefore, he concluded that the genuineness of the activities of the Trust was not established. Accordingly, he treated the application filed u/s 12A(1)(ac)(iii) of the Act by the assessee as non- maintainable and rejected the same.

4.

Aggrieved with the rejection order of the Ld. CIT(E), the assessee has filed the appeal before the Tribunal.

5.

Rival contentions were heard and the submissions made have been examined. The Ld. AR submitted that in response to the notices issued, the assessee had filed the reply online and has filed the screenshots of the response filed on the e-filing portal of the Department. A copy of the letter dated 15/12/2025 has also been filed in which the compliance has been made to the queries raised. It is submitted that the response was not considered by the Ld. CIT (Exemption), and it has been mentioned by him that in the absence of the reply to the queries, the assessee is not eligible for registration and the application filed has been treated as non-maintainable and has been rejected. The Ld. AR requested that the order of the be set aside and the assessee may be granted one more opportunity for explaining the response to the queries raised.

6.

The Ld. DR though did not raise any serious objection to the request made by the Ld. AR but vehemently argued that the order of the Ld. CIT(E) may be confirmed.

7.

We have heard the rival contentions and have also gone through the facts of the case. The Ld. AR submitted before us that the assessee had filed the response to the queries raised by the Ld. CIT (Exemption), which was overlooked by him. In the interest of justice, it was considered imperative by the Bench that the assessee may be granted one more opportunity to explain its submission in response to the notice issued by the Ld. CIT(E) for justifying the genuineness of the activities and grant of statutory approval sought as the reply filed was not considered. Hence, the order of the Ld. CIT(E) is hereby set aside and the matter is remanded to him for deciding the application afresh after granting an opportunity of being heard to the assessee and thereafter consider the reply filed and decide the application in accordance with law for grant of registration u/s 12A of the Act. For statistical purposes, the grounds of appeal are partly allowed.

8.

In the result, the appeal filed by the assessee in ITA No. 2245/KOL/2026 is partly allowed for statistical purposes.

9.

As regards ITA No. 2246/KOL/2026, since the facts in this appeal are identical, our findings in ITA No. 2245/KOL/2026 shall mutatis mutandis also apply in the appeal in ITA No. 2246/KOL/2026. The grounds taken by the assessee in this appeal are also partly allowed for statistical purposes.

10.

In the result, both the appeals filed by the assessee are partly allowed for statistical purposes. Order pronounced in the open Court on 20th August, 2026. [George Mathan] [Rakesh Mishra] Judicial Member Accountant Member Dated: 20.08.2026 Bidhan (Sr. P.S.)

Copy of the order forwarded to:

1.

Bhoomi Selfhelp Foundation, SF Road, Durga Mandir, Asansol, Ushagram S.O., Raghunath Chak, Paschim Bardhaman, Asansol, West Bengal, 713303. 2. C.I.T. (Exemption), Kolkata, 10B, Middleton Row, Kolkata, West Bengal, 700071. 3. CIT(A)-

4.

CIT-

5.

CIT(DR), Kolkata Benches, Kolkata.

6.

Guard File. //// By order

Deputy/

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