SHIV SHAKTI EDUCATIONAL TRUST,MUMBAI vs. CIT (EXEMPTIONS), MUMBAI, MUMBAI

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ITA 1087/MUM/2025Status: DisposedITAT Mumbai26 March 2025AY 2025-26Bench: Smt. Beena Pillai (Judicial Member), Shri Omkareshwar Chidara ( (Accountant Member)7 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal held that the appellant was not given sufficient opportunity to submit documents and that the Trust is genuine and imparting education. A lenient view was taken, and the matter was remitted back to the CIT(E) for fresh consideration.

What were the facts?

The appellant, Shiv Shakti Educational Trust, filed an application for registration under section 12AB of the Income Tax Act. The CIT(E) rejected the application for non-furnishing of necessary documents despite notices and reminders, citing technicalities.

What were the issues?

Whether the denial of registration under Section 12AB by the CIT(E) was justified due to non-compliance with document submission requirements, and whether the appellant was provided sufficient opportunity.

Which sections of the Income-tax Act were involved?

Section 12A(1)(ac)(iii),Section 12AB

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, Mumbai “C” Bench, Mumbai.

Before: Smt. Beena Pillai (JM) & Shri Omkareshwar Chidara (AM)

For Appellant: Shri R.A. Dhyani
Pronounced: 26/03/2025

2 Shiv Shakti Educational Trust trust's educational activities, and rejected the 12A application on the technicality of not submitting the documents. Relief Prayed 1. To restore the matter back to the CIT (Exemptions), Mumbai 2. To stay the Order of CIT (Exemptions), Mumbai till a fresh order is passed

2.

From the above, it is seen that Ld. CIT(E) has rejected the application for grant of registration under section 12AB of the I.T. Act because necessary documents required to be accompanied the application in Form No. 10AB were not furnished. Hence, a notice issued to the appellant by Ld. CIT(E) and two more reminders were also sent to the above trust. However, appellant failed to reply to any of the above mentioned notices. As the appellant has not made any compliance to the notices issued by the Revenue, Ld. CIT(E) held that he is unable to arrive at a satisfactory conclusion as to whether appellant trust fulfills all the conditions to get registration u/s. 12AB of the Act and hence application was rejected.

3.

Aggrieved by the order of Ld. CIT(E), appeal was filed by the appellant trust before the ITAT.

4.

Ld. AR of the appellant has argued that the trust is a small one and there was no full-fledged accounting staff to look after the income tax matters and hence appellant trust could not furnish all required details to Ld. CIT(E). But, it was stated that they have all required details and the trust is a genuine and it is an existence for several years and the activities are going on as per the objects of the Trust. The Returns of Income of the trust were also being filed regularly and there was never any objection from any Department. Hence, it was pleaded that one more opportunity may be given to the appellant trust to furnish all particulars alongwith necessary details required by Ld. CIT(E). It was also stated by Ld. AR of the appellant that no further adjournment would be taken and all notices would be complied with.

3 Shiv Shakti Educational Trust 4. Ld. DR relied on the order of Ld. CIT(E) and has stated that Ld. CIT(E) has correctly denied the registration for the reasons mentioned in that order.

5.

After hearing rival submissions, it is decided that one more opportunity is being given to the appellant to file all particulars and necessary evidences required before Ld. CIT(E). Moreover, appellant trust is filing returns of income regularly, a lenient view is being taken. The issue is remitted back to the file of Ld. CIT(E). The appellant trust is directed to furnish all details without further adjournment and cooperative with the Department.

6.

The appeal of the appellant is allowed for statistical purposes. Order pronounced in the open Court on 26/03/2025.

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