SATYASAI EDUCATIONAL TRUST,BALESWAR vs. ITO, EXEMPTIONS WARD, CUTTACK, CUTTACK

आयकरअपीलीयअधिकरण,कटकन्यायपीठ,कटक IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK (THROUGH HYBRID HEARING) BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI GOPALAN GURUSAMY, ACCOUNTANT MEMBER आयकर अपील सं/ITA No.646/CTK/2025 (नििाारणवर्ा / Assessment Year : 2013-2014) Satyasai Educational Trust Vs ITO, Exemptions Ward, Cuttack Srikona Chandipur, Sea Beach Rd, Balasore-756002 PAN No. : AAGTS 9260 A (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) नििााररतीकीओरसे /Assessee by : Shri J.M.Pattanaik, Advocate Shri Biswaraj Raul, Advocate राजस्वकीओरसे /Revenue by : Shri Jeetendra Kumar, CIT-DR सुनवाईकीतारीख/ Date of Hearing : 06/10/2026 घोषणाकीतारीख/Date of Pronouncement : 06/10/2026 आदेश / O R D E R Per Bench: This is an appeal filed by the assessee against the order of the ld. CIT(A), NFAC, Delhi, in appeal No.CIT(A), Cuttack/10006/2018-19, dated 18/07/2023 for the assessment year 2013-2014. 2. Shri J.M.Pattanaik and Shri Biswaraj Raul, ld Advocates appeared on behalf of the assessee and Shri Jeetendra Kumar, ld. CIT-DR appeared on behalf of the revenue. 3. The appeal of the assessee is delayed by 996 days. In this regard, the assessee has filed an application for condonation of delay supported with an affidavit stating sufficient reasons for delay. Ld. Sr. DR also did not object to condone the same. Accordingly, considering the contents of the affidavit filed by the assessee in regard to condonation of delay which are

2 ITA No.646/CTK/2026 not found to be false, we condone the delay of 996 days in filing the appeal and the appeal of the assessee is admitted for hearing. 4. Ld. AR drew our attention to page 7 of the assessment order wherein the ld. AO has held that the impugned assessment year is 2013-2014 and the assessee had registration u/s.12AA of the Act vide registration No.12A/790-68/2013-14 dated 28/30th March, 2014 w.e.f. A.Y.2014-2015. Consequently, the AO did not grant the assessee the benefit of registration u/s.12A of the Act as also the benefit u/s.11 & 12 of the Act for the impugned assessment year being A.Y.2013-2014. Ld. AR drew our attention to the second proviso to Section 12A(2) of the Act, wherein it has been provided that if the assessment proceedings for the preceding assessment years are pending before the AO and from the date of such registration and the objects and activities of the trust remained the same for such preceding assessment years, the assessee shall be deemed to have registration u/s.12AA/12AB of the Act. It was the prayer that the issues in this appeal may be restored to the file of ld. AO with a direction to grant the assessee the benefit of Section 11 & 12 of the Act in view of the fact that the order granting the assessee registration u/s.12A of the Act is dated 30.03.2014 and the assessment order in the case of assessee is dated 29.12.2017. 5. In reply, ld.CIT-DR submitted that during the assessment year the assessee did not have registration u/s.12A of the Act. It was the submission that the registration u/s.12A of the Act has been granted to the assessee only from the assessment year 2014-2015 being a subsequent assessment

3 ITA No.646/CTK/2026 year and the benefit of Sections 11 & 12 of the Act should be granted to the assessee only from the subsequent assessment year. 6. We have considered the rival submissions. A perusal of the second proviso to Section 12A(2) of the Act reads as under :- 12A. (2) Where an application has been made on or after the 1st day of June, 2007, the provisions of section 11 and 12 shall apply in relation to the income of such trust or institution from the assessment year immediately following the financial year in which such application is made: xxxxxxxxxx Provided further that where registration has been granted to the trust on institution under section 12AA or section 12AB], then, the provisions of sections 11 and 12 shall apply in respect of any income derived from property held under trust of any assessment year preceding the aforesaid assessment year, for which assessment proceedings are pending before the Assessing Officer as on the date of such registration and the objects and activities of such trust or institution remain the same for such preceding assessment year: 7. It would be worthwhile to mention here that a 3rd proviso has also been introduced w.e.f. 01.04.2021 which says that even reopening should not be done for any preceding assessment year only for non-registration of trust or institutions. This 3rd proviso is in support of the 2nd proviso which effectively means that if during the subsequent assessment year registration has been granted to the assessee and the activities of such assessee trust remans the same for the preceding assessment year and the registration u/s.12A of the Act has been granted to the assessee in the succeeding assessment year, then the assessee should be deemed to have registration in the earlier assessment years also. As the 2nd proviso to Section 12A(2) of the Act does grant the assessee this benefit and as it is noticed that the assessment for the assessment year 2013-2014 has

4 ITA No.646/CTK/2026 been done subsequent to the assessee having granted the registration u/s.12A of the Act for the assessment year 2014-2015 in view of the 2nd proviso and the 3rd proviso to Section 12A(2) of the Act, the AO is directed to deem that the assessee has registration u/s.12A of the Act for the impugned assessment year i.e. AY 2013-14 and to readjudicate the issue treating the assessee as having registration u/s.12A of the Act. With this direction, the issues in this appeal are restored to the file of ld.AO for readjudication after granting the assessee adequate opportunity of being heard. 8. In the result, appeal of the assessee is partly allowed for statistical purposes. Order dictated and pronounced in the open court on 06/10/2026.

Sd/- Sd/- GOPALAN GURUSAMY GEORGE MATHAN लेखा सदस्य/ACCOUNTANT MEMBER न्यानयक सदस्य/JUDICIAL MEMBER दिनाांक Dated 06/10/2026 RS आदेशकीप्रनतललपपअग्रेपर्त/Copy of the Order forwarded to : 1. अपीलार्थी/ The Appellant- 2. प्रत्यर्थी/ The Respondent- 3. आयकरआयुक्त(अपील) / The CIT(A), 4. आयकरआयुक्त/ CIT 5. ववभागीयप्रतततनधि, आयकरअपीलीयअधिकरण, कटक / DR, ITAT, Cuttack गार्डफाईल / Guard file. 6. सत्यावपतप्रतत //True Copy// आदेशािुसार/ BY ORDER,

(Assistant Registrar) आयकरअपीलीयअधिकरण, कटक/ITAT, Cuttack