SHRI BRAHMASHATRIYA SORATHIA CASTE WADI TRUST,MUMBAI vs. ITO, EXEM. WARD 2(3), MUMBAI, MUMBAI

PDF · subscribers
ITA 5380/MUM/2026Status: DisposedITAT Mumbai21 September 20263 pages
AI SummaryWithdrawn

What did the Tribunal hold?

The Tribunal noted that the assessee sought to withdraw the present appeal. The primary ground for withdrawal was that the trust had already been granted registration on 04.05.2026. The assessee's counsel also pointed out a discrepancy regarding the listing of a related appeal before a coordinate bench. The Tribunal accepted the assessee's request for withdrawal. Consequently, the appeal was dismissed as withdrawn. The Tribunal did not decide on the merits of the grounds raised in the appeal, as the appeal was disposed of on the basis of the assessee's withdrawal. No issue was expressly left undecided.

What were the facts?

The assessee, Shri Brahmashatriya Sorathia Caste Wadi Trust, filed an appeal before the Income-Tax Appellate Tribunal (ITAT), Mumbai, challenging an order passed by the Commissioner of Income-tax (Exemptions) [CIT(E)] under Section 12AB of the Income-tax Act, 1961. The CIT(E) had rejected the trust's application for registration. The appeal was filed against the order of rejection. During the proceedings before the ITAT, the assessee's counsel submitted that the trust had already been granted registration on 04.05.2026. The counsel also brought to the Tribunal's notice that a coordinate bench had dismissed a related appeal (ITA No. 5385/M/2026) on 10.07.2026, but argued that the instant appeal was not listed before that bench on 10.06.2026 and was being heard for the first time by the present bench.

What were the issues?

1. Whether, on the facts and in law, the learned CIT(E) erred in passing an order of rejection under Section 12AB on the grounds of non-inclusion of an irrevocability or dissolution clause in the trust deed/MoA and specified violation as per Explanation (g) to Section 12AB(4)? Assessee's contention: The assessee sought to withdraw the appeal. The primary reason for withdrawal was that the trust had already been granted registration on 04.05.2026. The assessee also contended that the instant appeal was not listed before the Hon'ble 'D' Bench on 10.06.2026, as suggested by a previous order dismissing a related appeal, and was being heard for the first time by the present bench. Revenue's contention: No specific contention was recorded for the revenue in the judgment.

Which sections of the Income-tax Act were involved?

Section 12AB,Section 12AB(4)

AI-generated summary — verify with the full judgment below

Before: SHRI NARENDER KUMAR CHOUDHRY & SHRI PRABHASH SHANKARShri Brahmashatriya Sorathia v/s.

For Respondent: Shri Basavraj Hiremath,(CIT DR)
Hearing: 21.08.2026Pronounced: 21.09.2026

PER PRABHASH SHANKAR [A.M.] :- The present appeal is preferred by the assessee Trust against the order passed by the Learned Commissioner of Income-tax (Exemptions), Mumbai [hereinafter referred to as “CIT(E)”] pertaining to order passed u/s. 12AB of the Income-tax Act, 1961 [hereinafter referred to as “Act”].

P a g e | 2 Shri Brahmashatriya Sorathia Caste Wadi Trust 2. The grounds of appeal are as under:

1.

On the facts and circumstances of the case and in law, the learned CIT (E) has erred in passing the order of rejection u/s. 12AB on the ground of non-inclusion of irrevocability or dissolution clause in the trust deed / MoA and specified violation as per Explanation (g) to Section 12AB(4).

2.

On the facts and circumstances of the case and in law, the learned CIT (E) may please be directed to revoke the order of rejection passed by him u/s. 12AB and to pass the fresh order granting the necessary registration to the appellant trust u/s. 12AB on an immediate basis.

3.

At the outset, the ld. Counsel has submitted that the assessee seeks to withdraw this appeal, on the ground that it has already granted registration on 04.05.2026. It was also brought to our knowledge that the Hon'ble Co-ordinate Bench of the Tribunal on 10.07.2026 had also considered the instant appeal i.e. ITA No.5385/M/2026 in the combined order and dismissed the said appeal along with the ITA no. 5380/M/2026 itself whereas it is a fact that as demonstrated by the assessee's counsel that this appeal was not listed before the Hon'ble 'D' Bench on dated 10.06.2026, but in fact listed for hearing first time before this Court.

4.

In any case, since the assessee has requested for withdrawal of the instant appeal which is accepted by us. Consequently, in view of the above, this appeal is dismissed as withdrawn.

P a g e | 3 Shri Brahmashatriya Sorathia Caste Wadi Trust Order pronounced in the open court on 21/09/2026. (NARENDER KUMAR CHOUDHRY) ACCOUNTANT MEMBER

Place: म ुंबई/Mumbai ददनाुंक /Date 21.09.2026 Lubhna Shaikh / Steno

आदेश की प्रतितलति अग्रेतिि/Copy of the Order forwarded to : 1. अपीलार्थी / The Appellant 2. प्रत्यर्थी / The Respondent. 3. आयकर आयुक्त / CIT 4. विभागीय प्रविविवि, आयकर अपीलीय अविकरण DR, ITAT, Mumbai 5. गार्ड फाईल / Guard file. सत्यावपि प्रवि //// आदेशानुसार/ BY ORDER,

उि/सहायक िंजीकार (Dy./Asstt.

More judgments on Section 12AB

All 5,972 judgments and leading authorities on Section 12AB →

Recent GST High Court judgments

Search GST case law →