GULSHANE RASUL FOUNDATION,NASHIK vs. CIT (EXEMPTIONS), MUMBAI

Brief facts relevant for adjudication of the instant appeal are that the Assessee filed an application seeking registration u/s 12AB of the Act. The Ld. Commissioner took the application into consideration and issued a notice dated 09.12.2025, requiring the Assessee to furnish the complete set of documents prescribed under Rule 17A(2) of the Income Tax Rules, 1962.

In response thereto, the Assessee filed its submissions on 16.03.2026, vide letter dated 13.03.2026.

On examination of the material furnished, the Ld. Commissioner observed that the Assessee had failed to produce sufficient documentary evidence to establish the genuineness of its activities. In particular, the Assessee did not furnish the details of beneficiaries, activity reports, duly authenticated supporting documents and vouchers or other primary records demonstrating that the expenditure had been incurred wholly and exclusively towards its stated objects. According to the Ld. Commissioner, mere production of financial documents and bank challans, in the absence of primary supporting evidence, was insufficient to discharge the onus of establishing the genuineness of the activities and the application of income.

On the basis of the aforesaid findings, the Ld. Commissioner, vide order dated 30.03.2026, rejected the application filed by the Assessee seeking registration u/s 12AB of the Act.

Thus, the Assessee, being aggrieved, has preferred the instant appeal. The Ld. Counsel for the Assessee contended that all the relevant documents had been furnished along with the submissions dated 13.03.2026. However, at this stage, we deem it appropriate not to enter into the controversy as to whether all the requisite documents had actually been furnished or whether the documents so furnished were sufficient to establish the genuineness of the activities undertaken by the Assessee. 2

Thus, considering the peculiar facts and circumstances of the case and in the interest of substantial justice, we deem it appropriate to afford one more effective opportunity to the Assessee to furnish the complete documentary evidence in support of its application.

Accordingly, the case is remanded to the file of the Ld. Commissioner for decision afresh, suffice to say, by affording a reasonable opportunity of being heard to the Assessee and considering the material and submissions placed or to be placed on record.

The Assessee is directed to furnish, without unnecessary delay or default, the complete set of documents, including the details of beneficiaries, activity reports, supporting bills and vouchers and other primary records relevant to the genuineness of its activities and application of income.

In the result, the appeal filed by the Assessee is allowed for statistical purposes.