K. P. EDUCATION & MEDICAL INSTITUTION,DELHI vs. CIT(EXEMPTION), DELHI

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ITA 7940/DEL/2025Status: DisposedITAT Delhi19 May 20263 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal found that the CIT(Exemption) passed a cryptic order without proper examination and in the absence of a response. Therefore, the matter was restored to the CIT(Exemption) for fresh adjudication after providing adequate opportunities to the assessee.

What were the facts?

The assessee filed applications for registration under Section 12A and 80G of the Income Tax Act. The CIT(Exemption) rejected these applications without adequately examining the assessee's documents or providing sufficient opportunity to be heard.

What were the issues?

Whether the CIT(Exemption) erred in rejecting the applications for registration under Section 12A and 80G without proper examination and opportunity to the assessee.

Which sections of the Income-tax Act were involved?

Section 12A,Section 80G

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH ‘E’, NEW DELHI

Before: SH. SATBEER SINGH GODARA & SH. NAVEEN CHANDRA

For Appellant: Shri Ajay Garg, C.A
For Respondent: Ms. Amisha S. Gupt, CIT-D.R
Hearing: 19.05.2026Pronounced: 19.05.2026

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘E’, NEW DELHI BEFORE SH. SATBEER SINGH GODARA, JUDICIAL MEMBER AND SH. NAVEEN CHANDRA, ACCOUNTANT MEMBER ITA Nos. 7940 & 7947/Del/2025 (Assessment Year : NA) K.P. Education & Medical Vs. CIT (Exemption) Institution Ward Exemption 1(4) 8750, (3/4), D. B. Gupta Civic Centre, New Delhi Road, Paharganj NCT of Delhi - 110055 PAN No. AADTK 0056 D (APPELLANT) (RESPONDENT) Assessee by Shri Ajay Garg, C.A. Revenue by Ms. Amisha S. Gupt, CIT-D.R. Date of hearing: 19.05.2026 Date of Pronouncement: 19.05.2026

ORDER PER NAVEEN CHANDRA, ACCOUNTANT MEMBER : These two captioned appeals have been filed by the assessee against the order of the learned Commissioner of Income Tax (Exemption)-Delhi [‘CIT(A)’ in short] dated 23.09.2025 under Clause (ii)(b)(B) of second proviso to section 80G(5) of Income-tax Act, 1961.

ITA Nos. 7940 & 7947/DEL/2025 [A.Ys : N.A.] K.P. Education and Medical Institution vs. CIT(E) 2. Since the above captioned appeals were heard together and the facts in issues are identical, all these appeals are being disposed of by this common order for the sake of convenience and brevity.

ITA No.7940/Del/2025 : 3. The ground raised by the assessee are as under : 1. “The ld. CIT(E) has erred in rejecting the application for registration both u/s 12A and 80G of the Act which is arbitrary, unjustified, against the provision of law as well as against the concept of natural justice and equity.” 4. Briefly stated the facts of the case are that the assessee filed applications on 25.01.2025 in Form 10AB for approval u/s 12A(1)(ac)(ii) and u/s 80G of the Act. The ld. CIT (Exemption) issued notices and asked to furnish several documents to which the assessee filed its reply by furnishing the documents as called for. Ultimately, the CIT (Exemption) rejected the registration applications vide order u/s 12A and 80G. The assessee is aggrieved and has come in appeal before us.

5.

The ld AR contested the order of the CIT(E) while the ld. DR relied upon the orders of the ld. CIT(E). 6. We have given a thoughtful consideration to the order of the CIT (Exemption). We find that the ld. CIT(E) has cryptically passed an order in absence of any response from the assessee on the ground that genuineness of activities of the assessee is not established. We find that the CIT(E) has reached his conclusion without examining the

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ITA Nos. 7940 & 7947/DEL/2025 [A.Ys : N.A.] K.P. Education and Medical Institution vs. CIT(E) objectives of the Trust. We are therefore, of the considered view that the ld. CIT(A) should accord adequate opportunities of being heard to the assessee. Accordingly, in the interest of justice and fair play, we restore the issues to the file of the ld. CIT(E) for a fresh adjudication. The assessee is directed to furnish the necessary documents for verification and the ld. CIT(E) is directed to examine the same and decide the issue of registration u/s 12A and 80G after affording reasonable and sufficient opportunities of being heard to the assessee. The grounds are allowed for statistical purposes. 7. In the result, both appeals of assessee in ITA Nos. 7940 & 7947/DEL/2025 are allowed for statistical purposes. Order pronounced in the open court on19.05.2026

Sd/- Sd/- (SATBEER SINGH GODARA) (NAVEEN CHANDRA) JUDICIAL MEMBER ACCOUNTANT MEMBER Date:- 26.05.2026 Priti Yadav, 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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