SRI MOHAN KHAITAN CHARITABLE TRUST,DELHI vs. INCOME TAX OFFICER, WARD EXEMPTION-2(2), DELHI, NEW DELHI

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ITA 3571/DEL/2026Status: DisposedITAT Delhi19 August 2026AY 2026-273 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal noted a contradiction between the assessee's claim of having valid 12A registration and the CIT(Exemption)'s finding. Therefore, the matter was remitted back to the CIT(Exemption) for verification and a speaking order.

What were the facts?

The assessee, a charitable trust, applied for approval under Section 80G(5) of the Income Tax Act. The CIT(Exemption) rejected the application, stating that the assessee had not provided proof of valid registration under Section 12A.

What were the issues?

Whether the rejection of 80G approval was justified when the assessee claimed to have a valid 12A registration already granted and available on departmental records.

Which sections of the Income-tax Act were involved?

Section 80G,Section 12A

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH ‘A’ : NEW DELHI

Before: SHRI MAHAVIR SINGH

For Appellant: Ms. RaginiHanda, Adv. & Sh. Sameer Chopra, Adv, Ms. Pallavi Gupta, Adv
Hearing: 17.08.2026Pronounced: 19.08.2026

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘A’ : NEW DELHI)

BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI AMITABH SHUKLA, ACCOUNTANT MEMBER ITA No. 3571/Del/2026 Asstt. Year : 2026-27 SRI MOHAN KHAITAN CHARITABLE VS. INCOME TAX OFFICER, TRUST, WARD EXEMPTION-2(2) B-1, KHAITAN HOUSE, DEFENCE NEW DELHI COLONY, NEW DELHI – 110 024 (PAN: AAFTS1943M) (Appellant) (Respondent) Appellant by : Ms. RaginiHanda, Adv. & Sh. Sameer Chopra, Adv. & Ms. Pallavi Gupta, Adv. Respondent by : Sh. Zafarul Haque Tanweer, CIT(DR) Date of Hearing 17.08.2026 Date of Pronouncement 19.08.2026 ORDER PER MAHAVIR SINGH, VP:

This appeal by the assessee is emanating from the order of the CIT (Exemption), Delhi passed in Application No. CIT(Exemption), Delhi/2025- 26/12AA/27830 dated 7.3.2026 rejecting the approval u/s. 80G(5) of the Act. 2. At the time of hearing, it was contended by the Ld. AR that Ld. CIT(E) has erred in passing order in From No. 10AD dated 7.3.2026 whereby the application filed by the assessee for grant of approval under section 80G of the Act has been rejected, being contrary to the provisions of the Act and unsustainable in law. It was further submitted that the action of rejection of application u/s. 80G(5) of the Act is exfacie illegal and liable to be set aside, inasmuch as the assessee is duly

registered under section 12A of the Act vide order dated 3.1.2022, subsisting for the relevant assessment years i.e., AY 2022-23 to 2026-27, and thus the statutory precondition stand duly satisfied. It was further submitted that Ld. CIT(E) erred in rejecting the appellant’s application under section 80G(5) of the Act on the ground of non-furnishing of registration under section 12A of the Act, without appreciating that the said registration had already been granted and was available on departmental record, thereby rendering the impugned order vitiated by non- application of mind. 3. Ld. DR relied upon the order of the Ld. CIT(E). 4. We have heard the rival contentions and perused the records. We note that Ld. CIT(E) while rejecting the application for grant of approval u/s. 80G(5) has observed as under:- “On perusal of records available with this office, it is noticed that the applicant has not provided any proof of having valid registration u/s. 12A and has not applied for regular registration till date. Hence, without regular 12A registration, Form 10AB for approval u/s. 80G of the I.T. Act, 1961 filed on 28.7.2025 is infructuous and is hereby rejected.”

5.

On reading of the above observations, it is noted that the approval u/s. 80G(5) was mainly denied due to the fact that regular 12A registration was not granted. However, it is the contention of the Ld. Counsel that the said registration had already been granted and was available on departmental record. Thus, there is contradiction between the contention of the assessee and findings of the Ld. CIT(E) on this issue, hence, in view of the aforesaid factual matrix and in the interest of justice, we deem it fit and proper to remit back the issues to the file of the Ld. CIT(E) to verify the aforesaid contentions of the Ld. Counsel for the assessee and then decide the issue of approval u/s. 80G(5) of the Act, in accordance with law by passing a speaking order. We hold and direct accordingly.

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6.

In the result, the Assessee’s appeal is allowed for statistical purposes. Order pronounced in the Open Court on 19.08.2026.

Sd/- Sd/- (AMITABH SHUKLA) (MAHAVIR SINGH) ACCOUNTANT MEMBER VICE PRESIDENT

Date:19.08.2026 SRBhatnaggar Copy forwarded to: - 1. Appellant 2. Respondent 3. DIT 4. CIT (A) 5. DR, ITAT TRUE COPY By Order,

Assistant Registrar, ITAT, Delhi Bench

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