BUDUGUNTE LAKSHMAIAH SETTY DHARMA CHATRA ,MYSORE vs. CIT, EXEMPTIONS, , BANGALORE
Income Tax Appellate Tribunal, “A’’ BENCH: BANGALORE
Before: SHRI PRASHANT MAHARISHI & SHRI KESHAV DUBEYAssessment Year : NA
PER KESHAV DUBEY, JUDICIAL MEMBER:
This appeal at the instance of the assessee is directed against the order of the ld. CIT(Exemptions), Bangalore vide DIN & Notice
No. ITBA/EXM/F/EXM45/2024-25/1072591573(1) cancelling the registration u/s 12AB of the Income Tax Act, 1961(In short “The Act”)
The assessee has raised the following grounds of appeal:
“The order of the learned CIT[E] u/s. of the I. T. Act, 1961 dated 27/01/2025 refusing to grant recognition u/s 12AB of the Act, in so far as it is against the appellant, is opposed to law, equity, weight of evidence, probabilities facts and circumstances of the case. M/s. Budugunte Lakshmaiah Setty, Mysore Page 2 of 11
The learned CIT(E) is not justified in disposing off the Application in Form No.10AB of the Act without providing the appellant an opportunity to make submissions on the observations of the learned CIT[E] for refusal of registration and cancellation of the provisional registration under the facts and in the circumstances of the appellant's case.
The learned CIT[E] erred in refusing to grant recognition u/s 12AB of the Income-tax Act, 1961, on the ground that the appellant has neither received any donations nor conducted any activity towards attainment of the objects of the trust under the facts and in the circumstances of the appellant’s case.
The learned CIT[E] failed to appreciate that the impugned order refusing recognition u/s. 12AB was on erroneous consideration of the provisions and therefore, the impugned order passed deserves to be vacated.
The learned CIT[E] is not justified in observing that the appellant had not furnished copy of the sale deed which was not specifically called for and hence, the impugned order passed is in violation of the principles of natural justice.
For the above and other grounds that may be urged at the time of hearing of the appeal, your appellant humbly prays that the appeal may be allowed and Justice rendered and the appellant may be awarded costs in prosecuting the appeal and also order for the refund of the institution fees as part of the costs.”
The brief facts of the case as submitted by the AR of the assesseee are that the assessee trust was created by way of declaration of trust dated 07/06/2017. As per the Trust deed, the corpus of the trust shall continue to be the property or the trust as settled in favour of the trust under a registered deed dated 24/03/1945 registered as No. 4719/ 1944-45 book-I with the Sub-