SHREEJI EDUCATION & SEVA CHARITABLE TRUST,AHMEDABAD vs. COMMISSIONER OF INCOME TAX (EXEMPTION)- AHMEDABAD, AHMEDABAD

PDF · subscribers
ITA 940/AHD/2026Status: DisposedITAT Ahmedabad16 June 20264 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal held that the interests of justice would be served by remanding the matter back to the CIT(E). The CIT(E) is to reconsider the application afresh and pass an order after taking into account the assessee's submissions and explanations.

What were the facts?

The assessee, a charitable trust, applied for registration under section 12A(1)(ac)(iii). The CIT(E) rejected the application for non-compliance and failure to explain the genuineness of activities. The assessee claimed the adjournment application due to the CA's medical condition was not considered.

What were the issues?

Whether the CIT(E) erred in rejecting the registration application without considering the adjournment request and violating principles of natural justice.

Which sections of the Income-tax Act were involved?

Section 12A(1)(ac)(iii),Section 12AB(1)(b)(ii)(B)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “B” BENCH, AHMEDABAD

Before: DR. B.R.R. KUMAR, VICE- & SHRI RAHUL CHAUDHARY

For Appellant: Shri Vimal Desai, AR
For Respondent: Shri Ram Tiwari, CIT. DR
Hearing: 15.06.2026Pronounced: 16.06.2026

PER DR. B.R.R. KUMAR, VICE-PRESIDENT:-

The captioned appeal has been filed by the assessee against the order passed by the Learned Commissioner of Income Tax (Exemption), Ahmedabad dated 09.03.2026, whereby the application of the assessee for registration under section 12A(1)(ac)(iii) of the Income Tax Act, 1961 was rejected.

2.

The assessee has raised the following grounds of appeal:

ITA No. 1478/Ahd/2026 Asst. Year : NA - 2– 1. The learned CIT(E) has erred in rejecting the application for registration of the trust in Form No. 10AB u/s 12A of the Act filed by the appellant and also cancelling the provisional registration. 2. The learned CIT(E) has erred in law in rejecting the application without affording the appellant a reasonable and adequate opportunity of being heard, thereby violating the principles of natural justice, before passing the impugned order. 3. The learned CIT(E) has further erred in not even considering and disregarding the adjournment application dated 02.03.2026 submitted by the appellant against the only opportunity granted, wherein adjournment was sought on account of genuine medical reasons of the appellant's Chartered Accountant, who is responsible for handling all matters of the appellant. 4. The learned CIT(E) has erred in rejecting the application in spite of the fact that the CIT(E) did not have any adverse finding either on charitable nature of objects of the trust or the genuineness of its activities. Your appellant prays for leave to add to alter and/or to amend all or any of the grounds before the final hearing of the appeal.

3.

The facts of the case are that the assessee is a Trust and had applied for registration under Form No.10AB of the Act. The Ld. CIT(E) rejected the application for registration u/s.12AB(1)(b)(ii)(B) of the I.T Act, 1961, since the assessee-trust remained non-compliant and failed to submit/explain genuineness of the activities of the Trust.

4.

Aggrieved by the order of the Ld. CIT(E), the Assessee filed appeal before the Tribunal.

5.

At the outset, we note that notices of hearing were issued from time to time calling upon the assessee to furnish the requisite details/documents. The Ld. CIT(E) rejected the application on the

ITA No. 1478/Ahd/2026 Asst. Year : NA - 3– ground that the assessee-trust remained non-compliant. The assessee submitted that an adjournment application dated 02.03.2026 had been filed before the Ld. CIT(E), seeking adjournment of the hearing due to the medical condition of the tax consultant who was entrusted with representing the case. However, the said adjournment application was not considered by the Ld. CIT(E). Therefore, the Ld. Counsel prayed that, given an opportunity, the requisite details and explanations would be furnished before the Ld. CIT(E). The Ld. CIT(DR) argued that the assessee-trust is required to furnish the necessary details, explanations, and submissions before the Ld. CIT(E). Having considered the facts on record, we hold that interests of justice would be well served by remanding the matter to the Ld. CIT(E) for consideration of the application afresh and to pass an order by taking into consideration the submissions /explanations submitted by the assessee.

6.

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

The order is pronounced in the open Court on 16.06.2026

Sd/- Sd/- (RAHUL CHAUDHARY) (DR. B.R.R. KUMAR) JUDICIAL MEMBER VICE-PRESIDENT (True Copy) Ahmedabad; Dated 16.06.2026 MV

ITA No. 1478/Ahd/2026 Asst. Year : NA - 4–

आदेश की �ितिलिप अ�ेिषत/Copy of the Order forwarded to : 1. अपीलाथ� / The Appellant 2. ��थ� / The Respondent. 3. संबंिधत आयकर आयु� / Concerned CIT 4. आयकर आयु�(अपील) / The CIT(A)- 5. िवभागीय �ितिनिध, आयकर अपीलीय अिधकरण, अहमदाबाद / DR, ITAT, Ahmedabad 6. गाड� फाईल / Guard file.

आदेशानुसार/ BY ORDER, True Copy सहायक पंजीकार (Dy./Asstt. Registrar) आयकर अपीलीय अिधकरण, अहमदाबाद / ITAT, Ahmedabad

More judgments on Section 12A(1)(ac)(iii)

All 1,616 judgments and leading authorities on Section 12A(1)(ac)(iii) →

Recent GST High Court judgments

Search GST case law →