THE DAUGHTERS OF THE HEART OF MARY,CHENNAI vs. COMMISSIONER OF INCOME TAX (EXEMPTION), CHENNAI

Aggrieved by the aforesaid order rejecting its claim for approval u/s.80G of the Act, the assessee is in appeal before this Tribunal.

The Ld.AR appearing on behalf of the assessee submitted that the assessee had never furnished any communication or letter expressing its intention to withdraw the application filed in Form No.10AB seeking approval u/s.80G of the Act. It was contended that the finding recorded by the Ld.CIT(E) that the application stood withdrawn is factually incorrect and unsupported by any material available on record. The Ld. AR, therefore, prayed that the impugned order be set aside and the matter be restored to the file of the Ld.CIT(E) with a direction to adjudicate the assessee's application on merits in accordance with law.

Per contra, the Ld.DR was unable to controvert the submissions advanced on behalf of the assessee and could not point out any material evidencing withdrawal of the application by the assessee.

We have heard the rival submissions, perused the orders of the authorities below and carefully examined the material placed on record. It is an admitted position that the application filed by the assessee in Form No.10AB seeking approval u/s.80G of the Act has been rejected by the Ld. CIT(E) solely on the ground that the same had been withdrawn by the assessee. However, upon examination of the records available before us, we find that there is no communication, letter, or any other documentary evidence to indicate that the assessee had, at any point of time, withdrawn its application seeking approval u/s.80G of the Act.

In the absence of any material substantiating the finding recorded by the Ld. CIT(E), the rejection of the assessee's application on the premise of withdrawal cannot be sustained in the eyes of law. We are, therefore, of the considered opinion that the Ld.CIT(E) was not justified in rejecting the application filed by the assessee without examining the same on merits. Accordingly, in the interest of justice, we deem it fit and proper to set aside the impugned order of the Ld. CIT(E) and restore the assessee's application in Form No.10AB dated 20.09.2025 to his file with a direction to consider and adjudicate the same afresh on merits, in accordance with law, after affording adequate opportunity of being heard to the assessee.

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