S 3 IMPACT FOUNDATION ,MUMBAI vs. CIT(EXEMPTION), MUMBAI

The Assessee has raised following ground of appeal:

On perusal of the impugned order, we find that that application filed by the Assessee seeking registration under Section 12AB of the Act was rejected by the CIT(E) on the ground that no response was received from the Applicant and the Applicant failed to establish that the objective of the Assessee-Trust were not in violation of provisions contained in Section 11 of the Act. The Learned Authorized Representative for the Assessee appearing before us submitted that proper documents/submission could not be submitted before the Learned CIT(E) on account of failure of the tax professional pursing in the matter to file reply/submission). Therefore, another opportunity was sought to make out the case for registration/approval.

Per contra, Learned Departmental Representative submitted that there was no infirmity in the order passed by the CIT(E) since the Assessee had failed to file proper response.

Having considered the rival submission and on perusal of material on record we find the factual averments made by the Learned Authorized Representative for the Assessee be correct. The application filed by the Assessee was rejected for failure to ITA No. 459 /Mum/2025 & ITA No.460/Mum/2025 Assessment Year 2024-2025

In result, in terms of paragraph 5 above, the appeal preferred by the Assessee is allowed for statistical purposes. 8. Next we would take up appeal preferred by the Assessee against the order, dated 27/11/2024, passed by the CIT(E) whereby the application filed by the Assessee for approval under Section 80G of the Act under was rejected.

The Assessee has raised following ground of appeal: “1. On the facts and in the circumstances of the case and in law, the Ld. CIT(E) erred in rejecting application filed for 80G exemption.”

We note that the Learned CIT(E) has rejected the application under consideration seeking approval under Section 80G of the Act holding as under: “3. The Provision of Section 80G(5)(i) of the Act stipulates the condition that the provision of this Section is only available for institution or fund for which Section 11, 12 or Clause 23AA or Clause 23C of Section 10 of the Act applies. The applicant fails to fulfil any of the above criteria in view of the rejection of its application for registration u/s.12AB of the Act. Thus, it s application for approval u/s.80G of the act becomes untenable.

In view of the above, application in Form 10AB for approval under Section.80G of the Act is rejected”

Since we have set aside the order, dated 27/11/2024, whereby the application filed by the Assessee-Trust under Section 12AB of the Act was rejected by the Learned CIT(E), we deem it appropriate and in the interest of justice to set aside impugned order, dated 27/11/2024, with the directions to the Learned CIT(E) to decide the application under consideration filed for seeking approval under Section 80G of the Act afresh after taking into account the order passed by the Learned CIT(E) disposing off the application filed by the Assessee in Form No.10AB under Section 12A(1)(ac)(iii) of the Act as per our directions in paragraph 6 above. In terms of the aforesaid Ground No. 1 raised by the Assessee are treated as allowed for statistical purposes.

In result, in terms of paragraph 11 above, the appeal preferred by the Assessee is allowed for statistical purposes.

In conclusion, both the appeal preferred by the Assessee for the Assessment Year 2024-2025 [ITA No.459/Mum/2025 & ITA No.460/Mum/2025] are allowed for statistical purposes.

अपीलाथŎ/ The Appellant 2. ŮȑथŎ/ The Respondent. 3. आयकरआयुƅ/ The CIT 4. Ůधान आयकर आयुƅ/ Pr.CIT 5. िवभागीयŮितिनिध, आयकरअपीलीयअिधकरण, मुंबई/ DR, ITAT, Mumbai 6. गाडŊफाईल / Guard file.