PURUSHOTAM BHANJI LAVJI AROGYA BAWAN,PORBANDAR vs. THE COMMISSIONER OF INCOME TAX (EXEMPTION), AHMEDABAD

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ITA 397/RJT/2025Status: DisposedITAT Rajkot30 June 20263 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal condoned the delay in filing the appeal and restored the matter to the CIT(Exemption). The CIT(Exemption) is directed to re-examine the application after considering all supporting documents and explanations to be furnished by the assessee.

What were the facts?

The assessee's application for registration under Section 12AB was rejected by the CIT(Exemption) because its activities were found to be outside the stated objects of the trust. The assessee claimed they could not furnish all necessary documents during the initial proceedings.

What were the issues?

Whether the assessee's activities were in accordance with its trust objects, and if the CIT(Exemption) should consider additional evidence provided by the assessee.

Which sections of the Income-tax Act were involved?

Section 12AB,Section 12A

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, Rajkot Bench, Rajkot

Before: Dr. Arjun Lal Saini & Shri Sonjoy Sarma

For Appellant: Shri Vimal Desai, Ld. AR
For Respondent: Shri Abiram Kartikeyan S., Ld. CIT(DR)
Hearing: 24/06/2026Pronounced: 30/06/2026

आयकर अपीलीय अिधकरण, राजकोट �यायपीठ, राजकोट। In The Income Tax Appellate Tribunal, Rajkot Bench, Rajkot Before Dr. Arjun Lal Saini, Accountant Member And Shri Sonjoy Sarma, Judicial Member

आयकर अपील सं./ITA No. 397/RJT/2025 [ �नधा�रण वष�/Assessment Year: - ] Purushotam Bhanji Lavji Arogya The Commissioner of Income Tax Bawan (Exemption) Vs. C/o Sarda & Salda (CA), Sakru- Ist 609, Floor-6, Aayakar Bhawan Floor. Dr Radha-Klishnan Road, Opp. (Vejalpur), Nr Sachin Tower, 100 Foot Rajkumar College, Rajkot-360001 Road, Anandnagar- Prahladnagar Gujarat Road, Ahmedabad-380015 Gujarat �थायीलेखासं./जीआइआरसं./PAN/GIR No.: ΑΑΑΤΡ2020M (अपीलाथ�/Appellant) (��यथ�/Respondent) Appellant by : Shri Vimal Desai, Ld. AR Respondent by : Shri Abiram Kartikeyan S., Ld. CIT(DR)

Date of Hearing : 24/06/2026 Date of Pronouncement : 30/06/2026

:: ORDER :: Per, Shri Sonjoy Sarma, JM:

This appeal has been filed by the assessee against the order passed by the learned Commissioner of Income Tax (Exemption), dated 28.12.2024, relating rejection of application registration under Section 12AB of the Income Tax Act, 1961.

ITA No. 397/RJT/2025 Purushotam Branji Lavji Arogya Bavan 02. Brief facts of the case are that the assessee filed an application under clause (iii) of clause (ac) of sub-section (1) of Section 12A of the Act seeking registration under Section 12AB of the Act. The application of the assessee was rejected by the learned CIT (Exemption) on the ground that the assessee was carrying out activities which were not in accordance with the objects of the trust and certain activities were found to be beyond the stated objects contained in the trust deed.

3.

At the time of hearing, the learned Authorised Representative (AR) submitted that there was a delay of 102 days in filing the appeal. An application for condonation of delay had been filed stating the reasons for such delay. After considering the same, we condone the delay and proceed to adjudicate the appeal on the merits of the case.

4.

Before us, the learned Authorised Representative submitted that during the proceedings before the learned CIT (Exemption), the assessee could not furnish the relevant supporting documents and explanations. It was submitted that the assessee is now ready to furnish all necessary documents and provide clarification to the queries raised by the learned CIT (Exemption) by producing complete details and supporting records in support of its claim.

5.

On the other hand, the learned Departmental Representative did not raise any serious objection if the matter is restored to the file of the learned CIT (Exemption); however, it was submitted that the assessee should furnish all supporting documents and substantiate its claim before the concerned authority.

6.

We have heard the rival submissions and perused the material available on record. We find that the application filed by the assessee was rejected on account of

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ITA No. 397/RJT/2025 Purushotam Branji Lavji Arogya Bavan certain alleged violations in activities carried out by the trust, which according to the learned CIT (Exemption), were not in conformity with the objects of the trust.

7.

Considering the facts and circumstances of the case and in the interest of justice, we restore the matter to the file of the learned CIT (Exemption) with a direction to examine the issue afresh in accordance with law after considering all supporting documents and explanations that may be furnished by the assessee.

8.

The assessee is directed to extend full cooperation and furnish all necessary details and supporting documents before the learned CIT (Exemption).

9.

In the result, the appeal of the assessee is allowed for statistical purposes.

Order pronounced in the open court on this 30th day of June, 2026.

Sd/- Sd/- [ Dr. Arjun Lal Saini ] [ Shri Sonjoy Sarma ] लेखा सद�य/Accountant Member �याियक सद�य/Judicial Member राजकोट/Rajkot िदनांक/ Date: 30/06/2026 Copy of the order forwarded to : 1. The assessee 2. The Respondent 3. CIT 4. The CIT(A) 5. DR, ITAT, Rajkot 6. Guard File By order //True Copy// Sr. Private Secretary ITAT, Rajkot

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