SHREE GIRINARAYAN JAMNAGAR SAHAYAK MANDAL TRUSTI ,MUMBAI vs. COMMISSIONER OF INCOME TAX (EXEMPTIONS) MUMBAI, MUMBAI

At the outset, it is noticed that the present appeal is barred by limitation by 57 days. In support of the application seeking condonation of delay, the assessee has filed an affidavit explaining the reasons for the delay. It has been stated that after rejection of the application, the trust was contemplating its merger with another trust having similar objects. It has further been explained that one of the trustees, Shri Dinesh Shankarlal Purohit, was seriously ill during the relevant period and subsequently expired on 10.06.2026, which resulted in delay in taking a decision regarding filing of the present appeal. Considering the reasons stated in the affidavit, which, in our opinion, constitute sufficient cause, we condone the delay of 57 days in filing the appeal and proceed to decide the appeal on merits.

On merits, the learned counsel for the assessee submitted that the learned CIT(E) rejected the application after issuing only one show-cause notice and without affording an effective and meaningful opportunity of hearing. It was, therefore, submitted that the matter may be restored to the file of the learned CIT(E) for fresh adjudication. The learned Departmental Representative fairly left the issue to the discretion of the Bench.

We have considered the rival submissions and perused the material available on record. We find that the impugned order has been passed after issuance of only one show-cause notice. In the interest of substantial justice, and consistent with the view taken by us in the batch of similar appeals decided today, we deem it appropriate to set aside the impugned order and restore the matter to the file of the learned CIT(E). The learned CIT(E) shall adjudicate the assessee’s application afresh in accordance with law after affording due and effective opportunity of hearing. The assessee shall also extend full cooperation in the proceedings and furnish all such documents and information as may be required by the learned CIT(E).

In the result, the appeal of the assessee is allowed for statistical purposes.