SHREE JAIN SWETAMBER TERAPANTHI SABHA,CHURU vs. CIT(E), JAIPUR, JAIPUR

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ITA 676/JPR/2026Status: DisposedITAT Jaipur27 October 20264 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 noted that the CIT(E) had rejected the assessee's application for 80G approval on the sole ground that registration under section 12AB was not provided, and thus, 80G approval could not be granted. The Tribunal found no illegality or perversity in the CIT(E)'s order based on the facts presented at that time. However, the assessee subsequently brought on record the registration issued by the CIT(E) under section 12AB. This registration made the assessee eligible for the consequential approval under section 80G. In light of this development, the Tribunal held that it had no option but to set aside the impugned order in the interest of justice. The Tribunal decided to provide another opportunity to the assessee to obtain the 80G approval by producing the 12AB registration. Consequently, the impugned order was set aside, and the CIT(E) was directed to pass a fresh order after providing the assessee with an adequate opportunity of being heard. The appeal was allowed for statistical purposes.

What were the facts?

The assessee, Shree Jain Swetamber Terapanthi Sabha, filed an appeal against an order dated 11.03.2026 passed by the Commissioner of Income Tax (Exemption), Jaipur (CIT(E)). The CIT(E) had rejected the assessee's application filed in Form 10AB, seeking approval under clause (ii) of the first proviso to section 80G(5) of the Income Tax Act, 1961. The sole ground for rejection was the assessee's failure to furnish the status of its registration under section 12AB of the Act. The assessee contended that the CIT(E) erred in rejecting the 80G approval application without considering the eligibility for registration under section 12AB. The appeal was filed before the Income Tax Appellate Tribunal (ITAT), Jaipur.

What were the issues?

1. Whether the Ld. CIT(E) erred in rejecting the application filed by the assessee in Form 10AB seeking approval under clause (ii) of the first proviso to section 80G(5) of the IT Act, 1961, on the ground that approval under section 80G cannot be granted without registration under section 12AB. Assessee's Contention: The assessee argued that the CIT(E) erred in rejecting the 80G approval application solely because the registration under section 12AB was not yet furnished. The assessee believed it was eligible for 80G approval and that the CIT(E)'s reasoning was flawed. Revenue's Contention: The judgment records that the Ld. DR for the Revenue was heard. However, no specific arguments for the Revenue are detailed in the provided text.

Which sections of the Income-tax Act were involved?

Section 80G(5),Section 12AB,Section 80G

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, JAIPUR “A” BENCH, JAIPUR

Before: SMT. ANNAPURNA GUPTA, ADDOUNTANT MEMBER & SHRI KULDIP SINGH

IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR “A” BENCH, JAIPUR (PHYSICAL HEARING) BEFORE SMT. ANNAPURNA GUPTA, ADDOUNTANT MEMBER & SHRI KULDIP SINGH, JUDICIAL MEMBER ITA No:676/JPR/2026

Shree Jain Swetamber The CIT (Exemption) Terapanthi Sabha Jaipur. Vs (Respondent) Terapanth Bhawan, Behind Garh, Bidasar Near Balbari, Churu. PAN: AAMTS6379Q (Appellant)

Assessee Represented: Sh. P. C. Parwal, C.A. Revenue Represented: Sh. Ananad Swaroop, CIT Date of hearing : 14-10-2026 Date of pronouncement : 27-10-2026 ORDER PER : KULDIP SINGH, JUDICIAL MEMBER:-

The Appellants, Shree Jain Swetamber Terapanthi Sabha by filing the present appeal, sought to set aside the impugned order dated 11.03.2026 passed by the Commissioner of Income Tax (Exemption), Jaipur [hereinafter referred to as the ‘CIT(E)’] on the ground that:- “1. The Ld. CIT(E) has erred on facts and in law in rejecting the application filed by the assessee in Form 10AB seeking approval under clause (ii) of first

I.T.A No.676/JPR/2026 Page No 2 Shree Jain Swetamber Terapanthi Sebha

proviso to section 80G(5) of IT Act, 1961 on the ground that approval u/s 80G cannot be granted without registration u/s 12AB. 2. The appellant craves to alter, amend and modify any ground of appeal. 3. Necessary cost be awarded to the assessee.”

2.

Briefly stated, facts necessary for consideration and adjudication of the issued at hand are : Application moved by the appellant in Form No. 10AB, seeking approval u/s 80G(5)(ii) of the Income Tax Act, 1961 (hereinafter referred to as the “Act”) was rejected on the sole ground that on failure of the appellant to furnish the status of registration u/s 12AB, approval 80G of the Act cannot be granted. 3. Being aggrieved with the impugned order passed by the Ld. CIT(E), appellant has come up before the Tribunal by way of filing the present appeal. 4. We have heard Ld. ARs for the appellant and Ld. DR for the Revenue and perused the record available on file. 5. When the application of the appellant moved in Form 10AB seeking approval u/s 80G(5)(ii) of the Act was rejected on the sole ground that registration u/s 12AB of the Act was not there in favour of the appellant and as such approval u/s 80(5) of the Act cannot be

I.T.A No.676/JPR/2026 Page No 3 Shree Jain Swetamber Terapanthi Sebha

granted, thus there is no illegality or perversity in the impugned order. 6. However now the appellant has brought on record the registration issued by the Ld. CIT(E) u/s 12AB of the Act, which makes the appellant eligible to get the consequential approval u/s 80G of the Act. 7. In these circumstances, the Bench no has option except to set aside the impugned order, in the interest of justice, to provide another opportunity of being heard to the appellant, to get the approval u/s 80G of the Act issued by producing registration 12AB of the Act. Hence the impugned order passed by the Ld. CIT(E) is hereby set aside to pass afresh order by providing adequate opportunity of being heard to the appellant. 8. Resultantly, the appeal filed by the appellant is allowed for statistical purposes. Order pronounced in the open court on 27-10-2026 .

Sd/- Sd/- (ANNAPURNA GUPTA) (KULDIP SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Jaipur Dated:- 27/10/2026.

I.T.A No.676/JPR/2026 Page No 4 Shree Jain Swetamber Terapanthi Sebha *Santosh. Copy of the order forwarded to: 1. The Appellant- 2. The Respondent- 3. CIT 4. CIT(A) 5. DR, ITAT, Jaipur. 6. Guard File By order, SANTOS Digitally signed Asst. Registrar/Sr. P.S. by SANTOSH H KUMAR KUMAR MAURYA Date: 2026.10.28 MAURYA 10:09:04 +05'30'

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