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Facts
The assessee trust applied for regular registration under section 12A(1)(ac) and approval under section 80G(5) of the Income Tax Act. The CIT(E) rejected these applications as the assessee failed to respond to notices. The appeals were filed with significant delay.
Held
The Tribunal condoned the delay in filing the appeals. It was held that since the assessee failed to respond to the notices issued by the CIT(E), the matter should be remitted back to the CIT(E) for fresh adjudication.
Key Issues
Whether the CIT(E) was justified in rejecting the applications for registration and approval due to non-response from the assessee, and whether the delay in filing appeals should be condoned.
Sections Cited
12A(1)(ac), 80G(5), 12AB, 12A(1)(ac)(vi)
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Income Tax Appellate Tribunal, PUNE “A” BENCH : PUNE
Before: SHRI MANISH BORAD & SHRI VINAY BHAMORE
Jai Shree Khatu Shyam Mitra ITO (Exemption), Mandal Trust, Plot No.149B, Ward-1(1), Pune Sector-23, Nigdi, Yamuna Nagar, Pune-411 044. vs. PAN : AAETJ 3855 G (Appellant) (Respondent) For Assessee : None For Revenue : Shri Amol Khairnar, CIT-DR Date of Hearing : 13.11.2025 Date of Pronouncement : 19.11.2025 ORDER PER : MANISH BORAD, AM
These appeals at the instance of the assessee are directed against the separate orders of Ld. Commissioner of Income Tax (Exemption), Pune [“CIT(E)”], dated 15/03/2024 & 19/03/2025 framed under section 12AB and 80G(5) of the Income Tax Act, 1961 (“Act”); whereby applications for regular registration u/s. 12A(1)(ac) of the Act and for grant of approval u/s. 80G(5) of the Act have been rejected.
When the case called for, none appeared on behalf of the assessee. In the past also, the assessee failed to appear on the 2 ITA.No.640 & 641/PUN./2025 (Jai Shree Ehatu Shyam Mitra Mandal Trust) date fixed for hearing on 11/08/2025 and 12/11/2025. We, therefore, proceed to adjudicate the appeals ex-parte qua assessee with the assistance of Ld. Departmental Representative (DR) and the documents available on record.
These appeals are barred by limitation by 300 & 296 days respectively. Applications for condonation of delay along with affidavit has been filed. Perusal of the same indicates that reasonable cause prevented the assessee from filing the appeals before this Tribunal within the prescribed time limit and that the delay is not intentional and the assessee would not have gained from filing the appeal with delay. We, therefore, adopting a justice oriented approach and also taking guidance from the judgments of Hon’ble Apex Court in the case of Collector, Land Acquisition, Anantnag & Anr. Vs. Mst. Katiji & Ors. [(1987) 2 SCC 107] and in the case of Inder Singh Vs. State of Madhya Pradesh judgment dated 21.03.2025 (2025 INSC 382), hereby condone the delay of 300 & 296 days in filing of the instant two appeals before this Tribunal and admit them for adjudication.
At the outset, learned counsel for the assessee submitted that is against the rejection of application for regular registration u/s. 12A(1)(ac)(vi) of the Act and is against the rejection of application filed for getting approval u/s. 80G(5) of the Act.
3 ITA.No.640 & 641/PUN./2025 (Jai Shree Ehatu Shyam Mitra Mandal Trust) He fairly admitted that the assessee could not respond to the notices issued by the Ld.CIT(E) and therefore, both the impugned issues u/s. 12A(1)(ac)(vi) and 80G(5) of the Act may please be restored to the file of Ld.CIT(E) for adjudication afresh.
On the other hand, learned DR supported the order of the Ld.CIT(E).
We have heard rival contentions and perused the records placed before us. We observe that the assessee is a charitable trust and after obtaining provisional registration on 26/12/2022, filed separate applications evenly dated 30/09/2023 for regular registration u/s. 12A(1)(ac)(vi) of the Act and grant of approval u/s. 80G(5) of the Act. Ld.CIT(E) issued notices to the assessee calling for various information and other discrepancies in regard to both the applications, but the assessee failed to respond, resulting into rejection of both the applications.
We have considered the prayer made by the learned counsel for the assessee and in the larger interest of justice and being fair both the parties, deem it proper to remit back the issues raised in the instant appeals for regular registration u/s. 12A(1)(ac) of the Act and for grant of approval u/s. 80G(5) of the Act to the file of the Ld. CIT(E) for afresh adjudication. Needless to mention that Ld.CIT(E) shall afford reasonable
4 ITA.No.640 & 641/PUN./2025 (Jai Shree Ehatu Shyam Mitra Mandal Trust) opportunity of hearing to the assessee to furnish relevant information and other details. We also direct the assessee to remain vigilant and not to take adjournments unless otherwise required for reasonable cause and file all the details called for by the Ld.CIT(E). Impugned orders are hereby set aside and effective grounds of appeals raised by the assessee are allowed for statistical purposes.
In the result, both the applications filed by the assessee are allowed for statistical purposes.
Order pronounced in the open Court on 19.11.2025.