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Facts
The assessee, SMH Medical & Educational Trust, filed an appeal against the order of the CIT(E) rejecting its application for registration under Section 12AB of the Income Tax Act, 1961. The rejection was due to non-compliance with notices issued by the CIT(E), as the assessee failed to check the e-filing portal.
Held
The Tribunal condoned a 5-day delay in filing the appeal. Considering the interest of justice and equity, the Tribunal decided to provide the assessee with one more opportunity to furnish the necessary documents for registration.
Key Issues
Whether the assessee should be granted an opportunity to resubmit documents for registration under Section 12AB after failing to comply with the CIT(E)'s notices due to not checking the e-filing portal.
Sections Cited
12AB, 12A(1)(ac)(iii)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘A’ BENCH, CHENNAI
Before: SHRI GEORGE GEORGE KAND SHRI S.R. RAGHUNATHA
आदेश /O R D E R
PER GEORGE GEORGE K, VICE PRESIDENT:
This appeal at the instance of the assessee is directed against the order of Commissioner of Income Tax (Exemption), Chennai dated 09.12.2024, rejecting the assessee’s application seeking registration u/s.12AB of the Income Tax Act, 1961 (hereinafter called ‘the Act’).
There is a delay of 5 days in filing this appeal. The assessee has filed petition for condonation of delay. On perusal of the same, we find there is sufficient reason for delay in filing this appeal before the Tribunal. Hence, we condone the delay in filing the appeal and proceed to dispose off the appeal on merits.
At the very outset, we notice the CIT(E) had rejected assessee’s application in Form 10AB u/s.12A(1)(ac)(iii) of the Act seeking registration u/s.12AB of the Act for the reason that there was no compliance to the notices issued from the office of the CIT(E) dated 12.09.2024, 04.10.2024 and 14.11.2024. The Ld.AR submitted that assessee’s trust had not noticed the notices issued from the office of the CIT(E) on account of not looking into the e- filing portal of the Income-tax Department at the relevant time. Consequently, it could not upload the details called for from the office of the CIT(E). In the interest of justice and equity, it was prayed that assessee may be provided with one more opportunity to furnish the necessary documents in support of its case for registration u/s.12AB of the Act.
The Ld.DR supported the order of the CIT(E).
We have heard rival submission and perused the material on record. The assessee had not responded to the hearing notices issued from the office of the CIT(E). Consequently, the assessee’s application for registration u/s.12AB of the Act was rejected by the CIT(E). In the interest of justice and equity, we are of the view that assessee ought to be provided with one more opportunity. Accordingly, the issue is restored to the files of the CIT(E). The assessee is directed to co-operate with the Revenue and shall not seek unnecessary adjournment. It is ordered accordingly.
In the result, the appeal filed by the assessee is allowed for statistical purposes.
Order pronounced in the open court on 3rd June, 2025 at Chennai.