QIMPRO FOUNDATION,MUMBAI vs. CIT(E), MUMBAI

Briefly, the facts of the case are that the assessee filed an application in Form 10AB u/s. 12A(1)(ac)(ii) on 29.09.2025, seeking renewal of registration u/s. 12AB of the Act. In order to verify the contents of the application, a notice dated 07.01.2026 was issued to the assessee, calling for the necessary information and documentation. As per ld. CIT(E), the assessee has not complied with the said notices and therefore, in absence of compliance by the assessee, he was unable to arrive at a satisfactory conclusion as to the objects of the assessee trust, the genuineness of the activities and the compliance of any other law for time being in force and therefore, he rejected the application seeking renewal of registration u/s. 12AB of the Act on grounds of non-compliance to the notices issued to the assessee trust. Consequently, the assessee’s application seeking renewal of registration u/s. 80G(5) was also rejected. Against the said orders and the findings of the ld. CIT(E), the assessee is in appeal before us.

During the course of hearing, the ld. AR submitted that it is not in dispute that the ld. CIT(E) had issued a notice dated 07.01.2026 seeking the necessary information and documentation. It was submitted that in response to the said notice, the assessee had moved an adjournment application as it was in the process of compiling and collating the necessary information and documentation as so called for and the assessee was under a bonafide belief that a fresh notice of hearing would be issued, granting reasonable time to the assessee to furnish the requisite information. However, no fresh notice/communication was received from the ld. CIT(E) and the assessee received the impugned order dated 01.03.2026, wherein the assessee’s application seeking renewal of registration was rejected. It was submitted that the rejection of application is purely on the technical ground of alleged non-compliance without examining the merits of the application, the charitable objects and activities of the assessee trust particularly when the assessee has been in existence and registered u/s. 12AB for last 26 years. It was accordingly submitted that the order of the ld. CIT(E) be set aside and the matter may be remitted to the file of ld. CIT(E) to decide on the merits of the application.

The ld. DR has been heard, who has relied on the order passed by the ld. CIT(E). At the same time, the ld. DR did not raise any specific objection where the matter is set aside to the file of ld. CIT(E) and decide the same afresh on the merits of the application.

After hearing both the parties and considering the material available on record, we find that ld. CIT(E) has issued a notice dated 07.01.2026 calling for the necessary information and documentation. In response, the assessee did comply to the said notice and has sought further time. However, there is no material on record that the assessee request for adjournment was rejected or any fresh notice was issued fixing the next date of hearing and thereafter, the ld. CIT(E) has proceeded and passed the impugned order for non-compliance to the notice so issued. We therefore, find that the assessee has been denied a reasonable opportunity to present the matter and there is no finding on merits of the case and therefore, in the interest of justice, we deem it appropriate to set aside the matter to the file of ld. CIT(E) to consider the same afresh in accordance with law after providing reasonable opportunity to the assessee.

Similarly, matter relating to renewal of application u/s. 80G(5) is also set aside to the file of ld. CIT(E) to decide the same afresh in accordance with law after providing reasonable opportunity to the assessee.

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