SARLA BANSAL TRUST,AMRITSAR vs. COMMISSIONER OF INCOME TAX (EXEMPTIONS), CHANDIGARH

ITA 972/ASR/2025Status: DisposedITAT Amritsar23 July 2026AY 2025-264 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal held that the rejection was arbitrary as the assessee was not given an opportunity to explain any shortfall and no show cause notice was issued. The low quantum of activities alone cannot be a ground for rejection.

What were the facts?

The assessee, a charitable trust, applied for re-registration under Section 12A(1)(ac)(ii) and approval under Section 80G. The CIT(E) rejected the applications, citing lack of evidence for charitable activities and donations.

What were the issues?

Whether the rejection of registration and approval applications by the CIT(E) was justified without issuing a show cause notice and providing an opportunity for explanation.

Which sections of the Income-tax Act were involved?

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

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, AMRITSAR BENCH, AMRITSAR.

Before: SH. S. RIFAUR RAHMAN & SH. UDAYAN DAS GUPTA

Hearing: 20.07.2026Pronounced: 23.07.2026

Per: Udayan Dasgupta, JM: This appeal is filed by the assessee against the order of the Ld CIT (E), Chandigarh, dated 02/12/2025, rejecting the application for registration dated 21/08/2025 filed by the assessee in Form 10AB, u/s 12A(1)(ac)(ii) of the Income Tax Act 1961 (henceforth the Act).

2.

The grounds of appeal taken by the assessee in the memorandum of appeal in form 36 are as follows: “1.The Learned CIT(E) Chandigarh has wrongly rejected the approval of Re-registration Charitable Trust of for which an application was filed in Form 10AB u/s 12A(1)(ac)(ii) of the Income Tax Act, 1961 from onwards. 1/4/2026 & and onwards.

I.T.A. No.963 and 972/Asr/2025 2 Assessment Year: N/A 2. The Learned

The order continues below.

Read the full judgment

A free account opens 10 full judgments a month. Re-reading one you have already opened does not count again.

Create a free accountSign in

See plans and prices

The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.

More judgments on Section 12A(1)(ac)(ii)

All 679 judgments and leading authorities on Section 12A(1)(ac)(ii) →

Recent GST High Court judgments

Search GST case law →