THE NEW GENERATION TRUST,NEW DELHI vs. CIT EXEMPTION, DELHI

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ITA 4160/DEL/2026Status: DisposedITAT Delhi23 June 20263 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal found that the CIT(E) had not properly appreciated the documents and submissions. The Tribunal noted that the trust deed implicitly established the irrevocable nature of the trust. Therefore, the impugned order was set aside.

What were the facts?

The assessee trust applied for registration under sections 12A(1)(ac)(ii) and 80G of the Income Tax Act. The CIT(E) rejected the applications, citing the absence of a specific irrevocability clause in the trust deed and issues regarding asset transfer and resolutions.

What were the issues?

Whether the CIT(E) erred in rejecting the applications for registration due to the perceived absence of a specific irrevocability clause in the trust deed.

Which sections of the Income-tax Act were involved?

Section 12A(1)(ac)(ii),Section 80G

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH “F”, NEW DELHI

Before: SHRI S. RIFAUR RAHMAN & SHRI VIMAL KUMAR

For Appellant: Shri George Koshi, CA
For Respondent: Shri Yashvendra Singh, CIT-DR
Hearing: 23.06.2026Pronounced: 23.06.2026

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “F”, NEW DELHI BEFORE SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER AND SHRI VIMAL KUMAR, JUDICIAL MEMBER ITA No. 4160/Del/2026 ITA No. 4161/Del/2026 The New Generation Trust Vs. CIT (Exemption), 133, 3rd Floor, D.P.House, Delhi Lane No.-1, Westend Marg, Saidulajab, New Delhi- 110030 �थायीलेखासं./जीआइआरसं./PAN/GIR No: AAATN6782E Appellant .. Respondent Appellant by : Shri George Koshi, CA Respondent by : Shri Yashvendra Singh, CIT-DR Date of Hearing 23.06.2026 Date of Pronouncement 23.06.2026

O R D E R PER VIMAL KUMAR, JM: The appeals filed by the assessee against the orders dated 19.03.2026 under section 12A/(1)(ac)(ii) and 80G of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) of the Commissioner of Income Tax (Exemption), Delhi [hereinafter referred to as “the CIT(E)”].

P a g e | 2 ITA No. 4160 & 4161/Del/2026 New Generation Trust

2.

Ld. Authorized Representative for appellant/assessee submitted that Ld. CIT(E) erred in rejecting the application u/s 12A(1)(ac)(ii) and 80G without properly appreciating the documents and submissions. Ld. CIT(E) erred in holding that trust deed does not contain an irrevocability clause, without appreciating that the Trust Deed clearly provides that ‘the property of the trust shall in no event revert to the settlor or any other person’ which implicitly establishes irrevocable nature of the trust. The matter may be restored to the file of ld. CIT(E).

3.

Ld. Departmental Representative relied on impugned order.

4.

In view of above material facts, Ld. CIT(E) vide impugned order, rejected applications u/s 12A/(1)(ac)(ii) and 80G of the Act for non-providing of specific irrevocability clause, and how assets will be transfer and resolution. The appellant claims that impugned order is passed without appreciating documents and submissions.

5.

In the interest of substantial justice, impugned order is set aside and the matter is restored to the file of the Ld. CIT(E) for fresh decision in accordance with law after affording fair opportunity of being heard to the

P a g e | 3 ITA No. 4160 & 4161/Del/2026 New Generation Trust

assessee. We also direct assessee to make proper submissions and appear before the Ld. CIT(E) on the date of hearing and cooperate with the tax authorities.

5.

In the result, the appeals filed by the assessee are allowed for statistical purposes.

Order pronounced in the open court on 23.06.2026

Sd/- Sd/- (S. RIFAUR RAHMAN) (VIMAL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 30.06.2026 Binita, Sr. PS Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI

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