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Before: SHRI NARENDER KUMAR CHOUDHRY & SMT. RENU JAUHRI
सुिवधई की िधरीख / Date of Hearing 30.04.2025 घोर्णध की िधरीख/Date of Pronouncement 15.05.2025 आदेश / O R D E R PER RENU JAUHRI [A.M.] :- This appeal is filed by the assessee against the order of the Learned Commissioner of Income-tax (Exemptions), Mumbai-/National Faceless Appeal Centre, Delhi [hereinafter referred to as “CIT(A)”] dated 29.12.2024 passed u/s. 250 of the Income-tax Act, 1961 [hereinafter referred to as “Act”].
The assessee has raised the following grounds of appeal:
Om Siddhi Vijay Mandal “1. The Commissioner of Income Tax (Exemption) (hereinafter referred to as the CIT(E)] erred in passing an order dated 29.12.2024 and thereby rejecting the application of the Appellant Trust made in Form 10AB seeking registration under section 12AB of the Income Tax Act, 1961 [hereinafter referred to as 'the Act'] without appreciating the facts and circumstances of the case. Thus, the order dated 29.12.2014 is not justified and the same may be set aside.
2. The CIT (E) failed to appreciate that the Appellant has duly submitted all the documents including proof of charitable activities, financial statements and bank statements in response to the notices issued by CIT(E). However, the registration u/s 12AB has been rejected for want of details of expenditure without appreciating that the same have been reflected in the financial statement of the Appellant. Thus, the order dated 29.12.2014 is not justified and the same may be set aside.
The CIT(E) is not justified in rejecting the registration under section 12AB of the Act merely for want of details of expenditure incurred by the Appellant without giving a reasonable opportunity to provide the same. Thus, the order dated 29.12.2024 passed by the CIT(E) may be set aside.”
3. At the outset, it is noticed that there is a delay of 18 days in filing the appeal. The assessee has filed a petition for condonation of delay explaining that the trustee who is looking after the compliance work of the assessee trust was unwell and hospitalised at the time when the order dated 02.12.2024 rejecting the registration was sent on the Email ID of the trust by Ld. CIT(A). Hence, there was some delay in taking action to file the appeal before the due date. In view of the explanation submitted by the assessee, we are of the view that there was a reasonable cause for the delay of 18 days, which is hereby condoned.
Brief facts of the case are that the assessee filed an application for registration in Form 10AB, which was rejected by the Ld. CIT(E) vide order dated 29.12.2024. Further, it is seen that the assessee furnished partial details in response to the notice issued by Ld. CIT(A). However, despite the fact that the assessee had duly submitted the proof of charitable activity, financial statements, bank statements and other details sought by the Ld. CIT(A), the Om Siddhi Vijay Mandal registration was rejected merely for want of details of expenditure incurred. It has been submitted by the Ld. AR that the assessee was not given sufficient opportunity to furnish evidence of expenditure incurred, and has filed copies of invoices relating to the expenditure before us.
In view of the above facts, in the interest of natural justice, we hereby restore the matter to the Ld. CIT(E) for fresh adjudication after examining the details of the expenditure submitted by it. Needless to add, the assessee should be given due opportunity of being heard before deciding the application for registration.
In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on 15.05.2025.