SOUBHAGYA SINDHU TRUST,ANANTHAPUR vs. ITO., WARD-1, ANANTAPUR

At the very outset, there is a delay of 176 days in filing the appeal before the Tribunal. The assessee has filed

The brief facts of the case are that the assessee has filed an application in Form No.10AB seeking for registration u/sec.80G of the Act. During the proceedings before the learned CIT(E), notice dated 27.10.2023 was issued to produce copy of Memorandum of Association /Trust Deed for verification and to furnish a detailed reply on the specific information called for in the said notice. In response to the said notice, the assessee has submitted certain details. The learned CIT(E) issued show cause notice dated 17.01.2024 and called upon the assessee to submit other information as per earlier notice dated 27.10.2023. The assessee neither appeared nor filed any details. Therefore, the learned CIT(E) dismissed the application filed by the assessee in Form No.10AB and rejected the registration u/sec.80G of the Act.

Learned Counsel for the Assessee submitted that the subsequent notice issued by the learned CIT(E) dated 17.01.2024 was mislead the attention of the assessee and the assessee was under bonafide belief that whatever information submitted in response to notice dated 27.10.2023 is sufficient and the learned CIT(A) will consider the application filed by the assessee in Form No.10AB for registration u/sec.80G of the Act. The assessee came to know the rejection of application filed by the assessee when the Chartered Accountant who logged into the ITBA portal for filing return of income for the assessment year 2024- 2025 and finds that the application filed by the assessee has been rejected by the learned CIT(E). Therefore, he submitted that the assessee could not file other information called for by the learned CIT(E) since the notice issued by the learned CIT(E) was not reached to the assessee. Therefore, he submitted that giving a chance to file relevant details called for by the learned CIT(E), the assessee will be able to file all the details in support of application filed in 4 ITA.No.1099/Hyd./2024

The Learned DR, on the other hand, supported the order of the learned CIT(E) and submitted that the assessee could not file relevant evidences called for by the learned CIT(E) in support of it’s application filed in Form No.10AB seeking for registration u/sec.80G of the Act. In absence of relevant details, the learned CIT(E) rightly rejected the application filed by the assessee and, therefore, the order of the learned CIT(E) should be upheld.

We have heard both the parties, considered the arguments of either side. We find that the assessee is registered u/sec.12AA of the Act has filed an application in Form No.10AB of the Act seeking for registration u/sec.80G of the Act. The learned CIT(E) rejected the application filed by the assessee for want of information. The assessee has explained the reasons for not appearing before the learned CIT(E) and argued that if one more opportunity has been given, the relevant details in support of it’s application filed in Form No.10AB will be furnished to the satisfaction to the 5 ITA.No.1099/Hyd./2024

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