DEEPAK GUPTA MEMORIAL TRUST,AMBALA CITY vs. COMMISSIONER OF INCOME TAX, EXEMPTIONS, CHANDIGARH, CHANDIGARH

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ITA 537/CHANDI/2026Status: DisposedITAT Chandigarh04 August 2026AY 2025-263 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal accepted the assessee's plea for another opportunity to rectify the deficiencies, citing principles of natural justice. The impugned orders were set aside, and the matter was restored to the CIT(E) for fresh adjudication.

What were the facts?

The assessee, Deepak Gupta Memorial Trust, had its application for registration under Section 12A(1)(ac)(ii) and approval under Section 80G(5) rejected by the CIT(E). The rejection was primarily due to unauthenticated documents and the absence of charitable activities during the year.

What were the issues?

Whether the assessee should be granted an opportunity to rectify deficiencies in its application for registration and approval, and whether the CIT(E) erred in rejecting the applications outright.

Which sections of the Income-tax Act were involved?

Section 12A(1)(ac)(ii),Section 80G(5)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “A” BENCH, CHANDIGARH

Before: HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM & HON’BLE SHRI RAJESH DAMODARLAL SHARMA, JM

Heard together (2 matters)

ITA No.536/CHANDI/2026
ITA No.537/CHANDI/2026

Read from the judgment's own cause title. This page is filed under one of them.

आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member)

1.

Aggrieved by rejection of an application as filed by the assessee seeking registration u/s 12A(1)(ac)(ii) and consequential rejection of application seeking approval u/s 80G(5) vide impugned orders dated 06-03-2026 of Ld. Commissioner of Income Tax (Exemption), Chandigarh, [CIT(E)], the assessee is in further appeals before us.

Upon perusal of para 6 of rejection order u/s 12A(1)(ac)(ii), it could be seen that the application has been rejected since registration certificate / MOA was not authenticated and the documents were held to be not acceptable. It was also observed that the assessee did not carry out any charitable activity during the year. Consequently, approval u/s 80G was also denied. Aggrieved, the assessee is in further appeals before us. The Ld. AR pleaded for another opportunity to rectify the deficiencies. It has also been stated that there was temporary lull in the activities. Accordingly, a prayer has been made to remand back the matter which has been opposed by Ld. CIT-DR. 2. Keeping in mind the principles of natural justice and in view of the fact that the assessee is a charitable trust, we accept the prayer of Ld. AR. Accordingly, the impugned orders are set aside and the issue of registrations stand restored back to Ld. CIT(E) for fresh adjudication with a direction to the assessee to rectify the deficiencies and thereafter, plead and prove its cases forthwith on merits. 3. Both the appeals stand allowed for statistical purposes. Order pronounced on 04th August, 2026

-Sd- -Sd- (RAJESH DAMODARLAL SHARMA) (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER AS Dated: 04-08-2026

आदेश की �ितिलिप अ�ेिषत /Copy of the Order forwarded to : 1. अपीलाथ�/Appellant 2. ��थ�/Respondent 3. आयकरआयु�/CIT 4. िवभागीय�ितिनिध/DR 5. गाड�फाईल/GF

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ITAT CHANDIGARH

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