NITHI EDUCATIONAL TRUST ,DAKSHINA KANNADA vs. COMMISSIONER OF INCOME TAX(EXEMPTIONS), BANGALORE

The present appeal of the assessee is arising out of the order of the ld. CIT(Exemptions), Bangalore dated 26.8.2024 having DIN ITBA/EXM/F/EXM45/2024-25 and relates to denial of exemption u/s. 12AB of the Act.

The brief facts of the case as coming out from the orders of the authorities below are that the appellant is a charitable trust registered under the Indian Trusts Act. It has been granted provisional registration u/s. 12A for the AY 2023-24 to 2024-25. The assessee applied for renewal of 12AB registration vide application dated 29.2.2024. While dealing with the application of the assessee, the ld. CIT(Exemptions) observed that assessee’s application to Karnataka Nursing and Para Medical Science Regulatory Authority and Rajiv Gandhi University of Health Sciences were pending with the authorities and hence the assessee has failed to prove the activities carried out by the assessee by way of filing relevant documents/details required for registration of assessee u/s. 12AB of the I.T. Act.

The ld. counsel appearing on behalf of the assessee pointed out that assessee has received the recognition from the Rajiv Gandhi University of Health Sciences on 13.11.2024 and also obtained the certificate from the Karnataka Nursing and Para Medical Science Regulatory Authority. Therefore, the matter may be restored to the file of the ld. CIT(Exemptions) for deciding it afresh in the light of approvals received by the assessee.

The ld. DR relied upon the orders of authorities below, however could not seriously object to restoration of the matter before the ld. CIT(Exemptions).

After considering the rival submissions, we are of the view that in the light of the fact that the assessee has received the approvals from Karnataka Nursing and Para Medical Science Regulatory Authority and Rajiv Gandhi University of Health Sciences. The matter requires fresh adjudication at the end of CIT(E). Therefore, we to restore the matter to the file of ld. CIT(Exemptions) to examine it afresh. Before parting we would like to observe that counsel for the assessee has assured that the assessee will abide with UGC guidelines and other allied laws.

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