SATISH BABBAR CREATIVE MUSIC FOUNDATION,DELHI vs. CIT(EXEMPTION), DELHI, DELHI

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ITA 5804/DEL/2026Status: DisposedITAT Delhi29 June 2026AY 2026-272 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal held that it would be in the interest of justice to restore the matter to the learned CIT(Exemption) for fresh consideration. The reasoning was based on the observation that the CIT(Exemption) had passed an ex-parte and non-speaking order. Therefore, the Tribunal set aside the impugned order of the learned CIT(Exemption). The ratio decidendi is that an ex-parte and non-speaking order, especially concerning a statutory registration, warrants a remand to ensure natural justice and proper adjudication. The operative direction is to remand the matter to the CIT(Exemption) with a direction to decide the matter afresh after affording a reasonable opportunity of being heard to the assessee and thereafter, pass a speaking order in accordance with law. No issue was expressly left undecided.

What were the facts?

The assessee, Ms. Satish Babbar Creative Music Foundation, filed an appeal before the Income Tax Appellate Tribunal (ITAT), Delhi Bench-E, against the order of the Commissioner of Income Tax (Exemption), Delhi. The assessment year in question is 2026-27. The impugned order, dated 9th March 2026, rejected the assessee's application in Form 10AB for registration under Section 12A of the Income-tax Act, 1961. The ITAT noted that no one appeared on behalf of the assessee during the hearing. The Tribunal also observed that the order passed by the learned CIT(Exemption) was ex-parte and non-speaking. The amount in dispute is not stated. The procedural history involves the rejection of the Section 12A registration application by the CIT(Exemption) and the subsequent appeal by the assessee to the ITAT.

What were the issues?

1. Whether the order passed by the learned CIT(Exemption) rejecting the assessee's application for registration under Section 12A of the Income-tax Act, 1961, is sustainable in law, considering it was passed ex-parte and was non-speaking? Assessee's contentions: The judgment records no contentions for the assessee as no one appeared on their behalf. Revenue's contentions: The judgment records no specific contentions for the revenue beyond the fact that the CIT-DR argued the case. The revenue's position would implicitly be to uphold the CIT(Exemption)'s order, but no specific arguments or reliance on authorities are mentioned.

Which sections of the Income-tax Act were involved?

Section 12A

AI-generated summary — verify with the full judgment below

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH-E NEW DELHI BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA No.5804/Del/2026 Assessment Year 2026-27 Ms Satish Babbar Creative Music Foundation, 150, Gujrawala Town, Part-II, New Delhi _ 110 009_ PAN AAETS8866Q. (Appellant) Vs. Commissioner of Income Tax (Exemption) , Delhi. (Respondent) Appellant by Respondent by None_ Shri Raghunath, CIT-DR: Date of hearing Date of pronouncement 22.06.2026 22.06.2026 ORDER Per Bench: This appeal by the assessee is directed against the order of learned CIT(Exemption) , Delhi dated gth March, 2026 whereby the application of the assessee in Form 10AB for registration under Section 12A of the Income-tax Act, 1961 (hereinafter referred to as the Act') was rejected. 2 Nobody appeared on behalf of the assessee before us at the time of hearing: It is observed that the learned CIT(Exemption) has passed an ex-parte non-speaking order, In the above circumstances, after hearing the arguments of learned CIT-DR and perusal of record, we are of the view that it would be in the interest of justice to restore the matter to learned CIT(Exemption) for fresh consideration_ Accordingly , we set aside the impugned order of learned CIT(Exemption) with a 2 ITA No.5804/Del/2026 direction to decide the matter afresh after affording reasonable opportunity of being heard to the assessee and thereafter, pass a speaking order in accordance with law. 3 In the result; the appeal of the assessee is allowed for statistical purposes. Decision pronounced in the open Court on conclusion of hearing on 22n June, 2026. Sdl- (MANISH AGARWAL) ACCOUNTANT MEMBER (MAHAVIR SINGH) VICE PRESIDENT Date 29.06.2026 VK Copy _forwarded to: 1_ 2 . 3. 4 5_ Appellant Respondent CIT CIT(A) DR, ITAT Assistant Registrar

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