UDASIN SADGURU GANGESHWAR JANKALYAN TRUST,MUMBAI vs. CIT (EXEMPTIONS), MUMBAI, MUMBAI

Briefly stated facts of the case are that the assessee was Briefly stated facts of the case are that the assessee was Briefly stated facts of the case are that the assessee was granted provisional registration u/s 80 granted provisional registration u/s 80G of the Income Income-tax Act, 1961(In short ‘the Act’). B 1961(In short ‘the Act’). Before expiry of the said provisional efore expiry of the said provisional registration, the assessee applied for regular registration in Form registration, the assessee applied for regular registration in Form registration, the assessee applied for regular registration in Form No. 10AB under clause (iv)(b) of first proviso to section 80G(5) of the No. 10AB under clause (iv)(b) of first proviso to section 80G(5) No. 10AB under clause (iv)(b) of first proviso to section 80G(5) Act but said application of but said application of the assessee was rejected the assessee was rejected by the Ld. CIT(E) vide order dated 08.03.2024 CIT(E) vide order dated 08.03.2024 in view of non in view of non-compliance by the assessee by way of filing documentary evidence to the specific the assessee by way of filing documentary evidence the assessee by way of filing documentary evidence queries raised. Thereafter, again the assessee filed the present Thereafter, again the assessee filed the present Thereafter, again the assessee filed the present application which has application which has been rejected by the Ld. CIT(E) observing as been rejected by the Ld. CIT(E) observing as under:

Having heard the rival submissions of the parties and upon Having heard the rival submissions of the parties and upon Having heard the rival submissions of the parties and upon perusal of the material on record, we find that the learned perusal of the material on record, we find that the learned perusal of the material on record, we find that the learned Commissioner of Inc Commissioner of Income Tax (Exemptions) has rejected the ome Tax (Exemptions) has rejected the assessee’s application primarily on the ground that, under a strict assessee’s application primarily on the ground that, under a strict assessee’s application primarily on the ground that, under a strict interpretation of CBDT Circular No. 7/2024 dated 25.04.2024, the interpretation of CBDT Circular No. 7/2024 dated 25.04.2024, the interpretation of CBDT Circular No. 7/2024 dated 25.04.2024, the assessee was not entitled to file a fresh application. The said assessee was not entitled to file a fresh application. The said assessee was not entitled to file a fresh application. The said circular permits the filing of a fresh application only in cases where filing of a fresh application only in cases where filing of a fresh application only in cases where the original application was submitted after the due date or under the original application was submitted after the due date or under the original application was submitted after the due date or under an incorrect section code. In our considered opinion, the purpose of an incorrect section code. In our considered opinion, the purpose of an incorrect section code. In our considered opinion, the purpose of the aforesaid circular is to afford applicants an additional the aforesaid circular is to afford applicants an additional the aforesaid circular is to afford applicants an additional opportunity to comply with the requirements under Section 80G of ty to comply with the requirements under Section 80G of ty to comply with the requirements under Section 80G of the Income-tax Act, 1961 (hereinafter referred to as "the Act"). In tax Act, 1961 (hereinafter referred to as "the Act"). In tax Act, 1961 (hereinafter referred to as "the Act"). In the present case, the assessee’s application was rejected on account the present case, the assessee’s application was rejected on account the present case, the assessee’s application was rejected on account of non-compliance with notices issued during the proceedings. I compliance with notices issued during the proceedings. I compliance with notices issued during the proceedings. In the interest of substantial justice, we find it appropriate that the the interest of substantial justice, we find it appropriate that the the interest of substantial justice, we find it appropriate that the assessee’s application be examined on its merits rather than being assessee’s application be examined on its merits rather than being assessee’s application be examined on its merits rather than being summarily rejected at the threshold. Accordingly, the matter is summarily rejected at the threshold. Accordingly, the matter is summarily rejected at the threshold. Accordingly, the matter is remanded to the file of the Ld. CIT(E) for a fresh determination of remanded to the file of the Ld. CIT(E) for a fresh det remanded to the file of the Ld. CIT(E) for a fresh det the assessee’s eligibility for registration under Section 80G(5) of the the assessee’s eligibility for registration under Section 80G(5) of the the assessee’s eligibility for registration under Section 80G(5) of the Act, in accordance with law. Act, in accordance with law.

In the result, the appeal of the assessee is accordingly allowed In the result, the appeal of the assessee is accordingly allowed In the result, the appeal of the assessee is accordingly allowed for statistical purposes. for statistical purposes.