KSPG AUTOMOTIVE INDIA EMPLOYEES WELFARE FUND,PUNE vs. THE CIT EXEMPTION, PUNE

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “A”, PUNE BEFORE SHRI MANISH BORAD, ACCOUNTANT MEMBER AND SHRI VINAY BHAMORE, JUDICIAL MEMBER आयकर अपील सं. / ITA Nos.2882 & 2883/PUN/2025 KSPG Automotive India Vs. CIT, Exemption, Pune. Employees Welfare Fund, Plot No.A1, Supa Parner Industrial PA Off Ngar- Pune Highway, Parner, Ahmednagar- 414301. PAN : AAETK0969J Appellant Respondent Assessee by : Shri Kishor B. Phadke Revenue by : Shri Amol Khairnar Date of hearing : 24.03.2026 Date of pronouncement : 11.05.2026 आदेश / ORDER PER VINAY BHAMORE, JM: Both the above captioned appeals filed by the assessee are directed against the separate orders dated 30.09.2025 passed by Ld. CIT, Exemption, Pune rejecting the application for registration in Form No.10AB u/s 12A(1)(ac)(vi)-ITEM(B) of the IT Act filed on 21.03.2025 and denying the application for approval in Form

2 ITA Nos.2882 & 2883/PUN/2025 No.10AB under sub-clause (B) of (iv) of first proviso to sub-section (5) of section 80G of the IT Act filed on 29.03.2025. ITA No.2882/PUN/2025 : 2. Facts of the case, in brief, are that the assessee applied for registration in Form 10AB u/s 12A(1)(ac)(vi)-ITEM(B) of the IT Act on 21.03.2025. With a view to verify the genuineness of the activities of the assessee and compliance to requirements of any other law for the time being in force by the institution as are material for the purpose of achieving its objects, a notice dated 02.05.2025 was issued through ITBA portal requesting the assessee to upload various information detailed in notice. In compliance to the above notice, desired information was furnished by the assessee. Ld. CIT, Exemption, Pune found that the application was furnished u/s 12A(1)(ac)(vi)(B) of the IT Act instead of u/s 12A(1)(ac)(iii) of the IT Act, which is not applicable to the assessee since deduction u/s 11 of the IT Act was claimed by the assessee. Accordingly, further notice was issued to the assessee and not being satisfied with the reply dated 13.08.2025 furnished by the assessee, Ld. CIT, Exemption, Pune rejected the application for registration.

3 ITA Nos.2882 & 2883/PUN/2025 3. It is the above order against which the assessee is in appeal before this Tribunal. 4. Ld. AR appearing from the side of the assessee submitted that the rejection order passed by Ld. CIT, Exemption, Pune is unjustified. It was submitted that due to a typographical/inadvertent error the application was filed u/s 12A(1)(ac)(vi)(B), whereas the assessee was required to file application u/s 12A(1)(ac)(iii) of the IT Act. It was further submitted that application was filed by its own without help of any tax professional and due to this the above mistake occurred. Ld. Counsel further submitted that the assessee trust is genuine and was already having provisional registration u/s 12A(1)(ac)(vi) order dated 29.03.2022. Accordingly, it was prayed before the Bench that mentioning of wrong code in the application is curable defect and one opportunity may kindly be provided to the assessee to explain his case before Ld. CIT, Exemption, Pune. In support of above contention, Ld. AR relied on the decision passed by Co-ordinate Bench of this Tribunal in the case of Shree Swaminarayan Gadi Trust vs. CIT, [2024] 162 taxmann.com 772 (Surat-Trib.) order dated 13.05.2024 wherein under identical

4 ITA Nos.2882 & 2883/PUN/2025 situation Tribunal was pleased to allow the appeal of the assessee. Ld. AR further relied on another decision of the Co-ordinate Bench of this Tribunal in the case of Raj Krishan Jain Charitable Trust in ITA No.1553/Del/2024 order dated 05.06.2024, wherein under similar circumstances, the Tribunal was pleased to allow the appeal of the assessee. Accordingly, Ld. AR requested before the Bench to set-aside the order passed by Ld. CIT, Exemption, Pune and further requested to direct Ld. CIT, Exemption, Pune, to consider the application as filed under clause (iii) of section 12A(1)(ac) of the IT Act. 5. Ld. DR appearing for the Revenue relied on the order passed by Ld. CIT, Exemption, Pune and requested to confirm the same. 6. We have heard Ld. Counsels from both the sides and perused the material available on record including the paper book furnished by the assessee. We find that admittedly, the assessee trust was required to file application under clause (iii) of section 12A(1)(ac) of the IT Act but due to inadvertent error the application was filed under clause (vi) of section 12A(1)(ac) of the IT Act and for this reason Ld. CIT, Exemption, Pune rejected its application for

5 ITA Nos.2882 & 2883/PUN/2025 registration. We find that under identical situations, a Co-ordinate Bench of this Tribunal in the case of Raj Krishan Jain Charitable Trust (supra) allowed the appeal of the assessee by observing as under :- “9. As contended the appellant has committed a technical mistake in making the application under Section 12A(1)(ac)(ii) instead of clause (iii) of clause (ac) of sub-section (1) of section 12A of the Act. As pointed out the appellant has filed revised form 10AB for seeking registration under the correct provision i.e. Section 12A(1)(ac)(iii) which can also be considered. 10. In consonance with the decision rendered by the co-ordinate Bench, the typographical error deserves to be corrected. Accordingly, the appeal deserves to be allowed and impugned order dated 15.03.2024 of Ld. CIT (E) is liable to be set aside. Hence, the appeal is allowed and we set aside the order of Ld. CIT(E) dated 15-03-2024 and remand the matter back to the file of the CIT(E) for fresh adjudication by considering amended application of the appellant under Section 12A(1)(ac)(iii) of the Act, or he can call for amended application from the appellant. 11. In the result, the appeal filed by the assessee is allowed for statistical purpose.” 7. Respectfully following the above decision passed by the Coordinate Bench of this Tribunal (supra), we find force in the above arguments of Ld. Counsel of the assessee & considering the totality of facts of the case & in the interest of justice, we deem it proper to set-aside the order passed by Ld. CIT, Exemption, Pune and restore the matter back to him with a direction to treat the application already filed by the assessee as under clause (iii) of

6 ITA Nos.2882 & 2883/PUN/2025 section 12A(1)(ac) of the IT Act instead of under clause (vi) of section 12A(1)(ac) of the IT Act and decide the same as per fact and law after providing reasonable opportunity of hearing to the assessee. The assessee is also hereby directed to respond to the notices issued by Ld. CIT, Exemption, Pune in this regard and submit documents/evidences in support of application for registration, otherwise, Ld. CIT, Exemption, Pune shall be at liberty to pass appropriate order as per law. Thus, the grounds of appeal filed by the assessee are allowed for statistical purposes. 8. In the result, the appeal filed by the assessee in ITA No.2882/PUN/2025 is allowed for statistical purposes. ITA No.2883/PUN/2025 : 9. The instant appeal is against the order passed by Ld. CIT, Exemption, Pune denying grant of approval u/s 80G(5) of the IT Act. Since we have remanded the issue of grant of registration u/s 12A(1)(ac)(iii) to the file of Ld. CIT, Exemption, Pune for de novo adjudication, therefore, in the interest of justice, it would be appropriate to remit the issue of grant of approval u/s 80G(5) as

7 ITA Nos.2882 & 2883/PUN/2025 well to the file of Ld. CIT, Exemption, Pune being consequential, for de novo adjudication. 10. In the result, the appeal filed by the assessee in ITA No.2883/PUN/2025 is allowed for statistical purposes. 11. To sum up, both the above captioned appeals filed by the assessee are allowed for statistical purposes. Order pronounced on this 11th day of May, 2026. Sd/- Sd/- (MANISH BORAD) (VINAY BHAMORE) ACCOUNTANT MEMBER JUDICIAL MEMBER पुणे / Pune; �दनांक / Dated : 11th May, 2026. Sujeet/DOC Digitally signed by Sujeet Kumar Sujeet Kumar Sharma Sharma Date: 2026.05.12 आदेश क� �ितिलिप अ�ेिषत / Copy of the Order forwarded to : 12:08:14 +05'30' अपीलाथ� / The Appellant. 1. ��यथ� / The Respondent. 2. 3. The CIT, Exemption, Pune. 4. The Pr CIT/CIT concerned. िवभागीय �ितिनिध, आयकर अपीलीय अिधकरण, “A” ब�च, 5. पुणे / DR, ITAT, “A” Bench, Pune. गाड� फ़ाइल / Guard File. 6. आदेशानुसार / BY ORDER, // True Copy // Assistant Registrar आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.