ADARSHMAITRI FOUNDATION LATUR,LATUR vs. PCIT EXEMPTION PUNE, PUNE

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ITA 2886/PUN/2026Status: DisposedITAT Pune12 October 2026AY 2026-274 pages

In favour of the assessee: the assessee's appeal was allowed. From the AI summary of this appeal.

AI SummaryAllowed

What did the Tribunal hold?

The Tribunal held that the assessee's appeal was allowed. The Tribunal noted that the assessee had filed an application in Form 10AB for approval under Section 80G(5)(iii), which was rejected by the CIT(Exemption) on March 8, 2026, for belated filing. However, the Tribunal observed that the CIT(Exemption) had, by an order dated March 7, 2026, granted regular registration to the assessee under Section 12AB(1)(b) for AYs 2024-25 to 2033-34. In view of this earlier order granting regular registration, which implicitly recognized the assessee's charitable status, the Tribunal set aside the order of the CIT(Exemption) rejecting the Section 80G approval. The Tribunal directed the CIT(Exemption) to grant the approval sought under Section 80G(5) in accordance with the law. The grounds of appeal raised by the assessee were allowed. The ratio decidendi is that when an assessee's charitable character has been recognized by the same authority through a Section 12AB registration, a rejection of Section 80G approval on a technical ground like delay, especially when the application was filed during the subsistence of provisional approval, is not sustainable.

What were the facts?

The assessee, Adarshmaitri Foundation Latur, filed an appeal before the Income Tax Appellate Tribunal (ITAT), Pune Bench, against an order dated March 8, 2026, passed by the Commissioner of Income Tax (Exemption) (CIT(E)). The CIT(E) rejected the assessee's application for approval under Section 80G(5) of the Income Tax Act, 1961. The assessee had been granted provisional approval under Section 80G(5) on October 16, 2023, valid until March 31, 2026. The application for regular approval in Form 10AB was filed on September 30, 2025. The appeal was filed with a delay of 17 days, which the Tribunal condoned. The CIT(E) rejected the application primarily on the grounds that it was filed beyond the prescribed time limit, citing mandatory time limits under Section 80G(5)(iii) and CBDT Circular No. 7/2024, which extended the deadline for filing Form 10AB to June 30, 2024.

What were the issues?

1. Whether the learned CIT(E) erred in rejecting the application for approval under Section 80G(5) solely on the ground of delay, considering that the application was filed on September 30, 2025, during the subsistence of the assessee's provisional approval which was valid up to AY 2026-27 and before its expiry. 2. Whether the learned CIT(E) erred in rejecting the Section 80G approval on a technicality when the same authority had already granted regular registration under Section 12AB on March 7, 2026, recognizing the assessee's charitable character. Assessee's Contentions: - The application for regular approval was filed on September 30, 2025, which was within the validity period of the provisional approval (valid up to AY 2026-27) and before its expiry. - The rejection on a technical ground of delay is arbitrary, especially since the same authority granted regular registration under Section 12AB on March 7, 2026, acknowledging the assessee's charitable nature. - The delay, if any, was due to the newly introduced provisions for provisional and regular registration. - Rejection of Section 80G approval and cancellation of provisional approval was unjustified without any adverse findings regarding the genuineness of activities or charitable objects. Revenue's Contentions: - The judgment records no specific contentions for the revenue.

Which sections of the Income-tax Act were involved?

Section 80G(5),Section 80G(5)(iii),Section 12AB(1)(b),Section 119

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, PUNE BENCH ‘A’, PUNE

Before: SHRI R.K. PANDA & SHRI VINAY BHAMORE

Pronounced: 12.10.2026

आयकरअपीलीयअिधकरण, पुणेपीठ�, पुणे INCOME TAX APPELLATE TRIBUNAL, PUNE BENCH ‘A’, PUNE BEFORE SHRI R.K. PANDA, VICE PRESIDENT AND SHRI VINAY BHAMORE, JUDICIAL MEMBER ITA 2886/PUN/2026 (िनधा�रणवष�/AssessmentYear:2026-27) ADARSHMAITRI FOUNDATION CIT (EXEMPTION) PUNE LATUR ROOM NO 322 INCOME TAX SAMBHAJI NAGAR YASHSHRI OFFICE PMT BUILDING KHANI VIBHAG NEAR TULSHIRAM SHANKAR SHETH ROAD PUNE Vs. SHINDE SCHOOL OLD KHADGAV PUNE-411037, MAHARASHTRA ROAD, LATUR-413512, MAHARASHTRA अपीलाथ�Appellant ��यथ� Respondent Permanent Account Number of Assessee: AAETA2171L अपीलाथ��ारा/Appellant represented by: Shri Girish Ladda (through virtual) ��यथ��ारा/Respondentrepresented by: Shri Mithun Shete, CIT-DR सुनवाईक�तारीख/Date of conclusion of hearing: 06.10.2026 घोषणाक�तारीख/Date of pronouncement: 12.10.2026 आदेश / ORDER PER VINAY BHAMORE, JUDICIAL MEMBER : This appeal is filed by the Assesseeagainst the order of Ld. CIT (Exemption) dated 08th March, 2026 rejecting the application for grant of approval u/s.80G(5) of the Act. 2. We find that the instant appeal filed by the assessee is delayed by 17 days and in this regard assessee has filed an Affidavit stating the reasons. We on perusal of the same find that the delay is due to ‘reasonable cause’ and therefore taking justice oriented approach condone the delay and admit the appeal for adjudication in light of settled judicial precedents. 3. Facts of the case as culled out from the record are that the assessee is a Charitable trust and was granted provisional approval u/s.80G(5) of the

ITA 2886/PUN/2026 ADARSHMAITRI FOUNDATION LATUR Act on 16.10.2023 for the A.Ys. 2024-25 to 2026-27 which is valid upto 31.03.2026. Assessee filed application for grant of approval u/s.80G(5)(iii) of the Act on 30.09.2025 before expiry of the provisional registration. However, ld.CIT(Exemption) rejected the application for grant of approval by observing as under : “3. From the provisions of clause (iii) of first proviso to section 80G(5) of the Act, it is evident that the time limits prescribed therein are mandatory and the Commissioner of Income Tax has no power to condone the delay in filing application in Form No.10AB. It is evident that the time limit prescribed under clause (iii) of first proviso to section 80G(5) of the Act for filing Form No.10A and Form No.10AB, as the case may be, is mandatory and therefore, after considering the hardship to the assessee the CBDT extended the said time limit on multiple occasions, for filing Form No. 10A and Form No. 10AB, under section 119 of the Act, vide above referred Circulars. As per above referred CBDT Circular No.7/2024, the date for filing Form No. 10AB for approval / approval under section 10(23C) or 12A or 80G(5) was extended upto 30th June 2024. 4. In view of the above, the present application filed in Form No. 10AB under clause (iii) of first proviso to section 80G(5) of the Act is liable to be rejected since the assessee has not filed the present application within the time limit allowed under clause (iii) of first proviso to section 80G(5) of the Income Tax Act, 1961. 5. In view of the above, the application filed by the assessee is hereby rejected and the provisional approval granted on 16/10/2023 under Item (A) of clause (iv) for first proviso to section 80G(5) of the Income Tax Act, 1961 is hereby cancelled.” 4. Aggrieved with such order of ld.CIT(Exemption), the assessee is in appeal before this Tribunal by raising the following grounds : “1) The learned CIT(E) erred in law in rejecting the application for registration u/s 80G merely on the alleged ground of delay, ignoring that the appellants provisional approval under section 80G(5) was valid up to AY 2026-27 and the regular Form No. 10AB was filed on 30.09.2025, i.e. during the subsistence of the provisional approval and well before its expiry. 2) The learned CIT(E) failed to appreciate that the same authority had already granted regular registration under section 12AB vide order dated 07.03.2026, thereby recognizing the appellants charitable character and genuineness, consequently, rejection of 80G approval on a technical limitation objection is arbitrary and contrary to settled principles governing charitable exemptions. 3) The learned CIT(E) erred in holding that the application was time barred

ITA 2886/PUN/2026 ADARSHMAITRI FOUNDATION LATUR and in rejecting the same on a purely technical ground without appreciating the bona fide and charitable nature of the appellant institution. The delay, if any, is purely due to newly introduced provisions of provisional and regular registration. 4) The learned CIT(E) erred in not appreciating that, in the absence of any adverse finding regarding genuineness of activities OR charitable objects, rejection of approval under section 80G and cancellation of provisional approval was unjustified and unsustainable. 5) The impugned order being arbitrary, bad in law, and contrary to the facts on record deserves to be quashed. The ld. CIT may please be directed to grant registration u/s 80G of the Income tax Act. 6) The Appellant Seeks leave to add, alter, amend OR DR0P any of grounds taken above.” 5. We have heard the rival submissions and perused the material available on record. We find the assessee filed an application in Form 10AB for grant of approval u/s.80G(5)(iii) which came to be rejected by ld.CIT(Exemption) on 08.03.2026 for belated filing of the application. At the time of hearing, Ld. Counsel for the assessee drew the attention of the Bench to the order of ld.CIT(Exemption) dated 07.03.2026 granting regular registration u/s.12AB(1)(b) of the Act for the A.Yrs. 2024-25 to 2033-34, copy of which is placed on record. On perusal of the same, it is ostensible that the assessee got regular registration by virtue of the above order and in view thereof we set aside the order of ld.CIT(Exemption) and direct him to grant the approval sought u/s.80G(5) of the Act in accordance with law. We hold and direct accordingly. Grounds of appeal raised by the assessee are allowed. 6. In the result, the appeal of the assessee is allowed. Order pronounced in the open court on 12th October, 2026. Sd/- Sd/- (R.K. PANDA) (VINAY BHAMORE) VICE PRESIDENT JUDICIAL MEMBER पुणे Pune; �दनांक Dated : 12th October, 2026 Sujeet/DOC Digitally signed by Sujeet Kumar Sujeet Kumar Sharma Sharma Date: 2026.10.13 11:23:08 +05'30' 3

ITA 2886/PUN/2026 ADARSHMAITRI FOUNDATION LATUR

Copy to: ADARSHMAITRI FOUNDATION LATUR, SAMBHAJI NAGAR YASHSHRI KHANI VIBHAG NEAR TULSHIRAM SHINDE SCHOOL OLD 1 KHADGAV ROAD, LATUR-413512, MAHARASHTRA PCIT EXEMPTION PUNE, ROOM NO 322 INCOME TAX OFFICE PMT 2 BUILDING SHANKAR SHETH ROAD PUNE, PUNE-411037, MAHARASHTRA 3 THE PCIT / CIT, 4 THE D.R., ITAT, PUNEBENCH 5 GUARD FILE आदेशानुसार/ BY ORDER, // True Copy // Assistant Registrar आयकरअपीलीयअिधकरण ,पुणे / ITAT, Pune

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