MEERA-TRINKLE SEVABHAVI SANSTHA,PUNE vs. CIT- EXEMPTION, PUNE
आयकर अपीलीय अधिकरण ”ए” न्यायपीठ पुणेमें।
IN THE INCOME TAX APPELLATE TRIBUNAL
PUNE BENCHES “A” :: PUNE
BEFORE MS.ASTHA CHANDRA, JUDICIAL MEMBER
AND DR.DIPAK P. RIPOTE, ACCOUNTANT MEMBER
आयकर अपील सं. / ITA Nos.2473 & 2606/PUN/2024
Meera-Twinkle
Sevabhhavi
Sanstha,
S No.127/3B/2, Flat No.101,
Kamlesh
Society,
Nr.Zala
Society,
Karve Road, Pune – 411038. V s
The Commissioner of Income Tax-Exemption,
Pune.
PAN: AAJAM9285D
Appellant/ Assessee
Respondent / Revenue
Assessee by Shri Kishor B Phadke
Revenue by Shri Aditya Shukla – CIT
Date of hearing
18/09/2025
Date of pronouncement 30/09/2025
आदेश/ ORDER
PER DR. DIPAK P. RIPOTE, AM:
These two appeals filed by the assessee are against the separate orders of ld.Commissioner of Income Tax(Exemption), Pune rejecting the application under section 12A of the Income Tax Act,
1961, dated 28.09.2024 & 15.03.2024 respectively. For the sake of convenience, these two appeals were heard together and are being disposed of by this common order. We treat the appeal in ITA
ITA Nos.2473 & 2606/PUN/2024 [A]
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No.2473/PUN/2025 as lead case. The Assessee has raised the following grounds of appeal :
“1. The learned CIT (Exemption), Pune, erred in law and on facts in rejecting appellant's application for regular registration u/s 124(1)(ac)(iii) of ITA, 1961. 2. The learned CIT (Exemption), Pune, erred in law and on facts in holding that activities of the appellant are not genuine. The learned CIT (Exemption),
Pune, ought to have appreciated that appellant's activities are genuine and bonafide, and as such, eligible for registration u/s 12A of ITA, 1961
The learned CIT (Exemption), Pune; erred in law and on facts in not appreciating that ensuring justice for victims of financial exploitation by the CITRUS group through legal aid and support programs is as per the object clause of the trust deed. The learned CIT (Exemption), Pune, also erred in observing that the benefits of appellant's activities are confined to a specific group and not to a public at large.
Appellant contends that due to lack of proper advice and absence of educated employees, appellant could not ensure compliance with CIT(Exemption)'s rejection order dated 15/03/2024 revoking the provisional registration and as such made a separate application for regular registration in Form 10AB on 29/03/2024. Appellant contends that appellant is keen to make all compliances and remain on the better side of the law.
The learned CIT (Exemption), Pune, erred in law and on facts in not granting a virtual hearing to explain the facts more clearly despite the specific request of the appellant thereby violating the principles of natural justice, as it deprived the appellant of the opportunity to effectively explain the activities of the trust, which the appellant believes could have demonstrated that the registration should not be rejected on merits.
Appellant craves leave to add, alter, clarify, explain, modify, delete any or all of the grounds of appeal, and to seek any just and fair relief.”
Findings & Analysis :
We have heard both the parties and perused the records. The ITA No.2473/PUN/2024 is against the order of ld.Commissioner of Income Tax(Exemption), dated 28.09.2024 under section 12A(1)(ac)(iii) of the Act, wherein Assessee’s application has been ITA Nos.2473 & 2606/PUN/2024 [A]
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rejected. The relevant paragraphs of said order are reproduced here as under :
“6.4 The assessee's submission is duly considered. However, the same is not found to be acceptable. The assessee contends that it is fighting against financial exploitation by the CITRUS Group of economically backward communities who have been deceived into investing money with promises of high returns but never receive even their principal amount back. The activity described does not align with the stated objectives of the trust as outlined in its deed. While the trust's objectives primarily focus on assisting the poor and needy through medical aid, sports promotion, educational support, and celebrating public festivals, the activity described pertains to legal advocacy against financial exploitation by a specific group. While the cause may be commendable, the activity deviates from the defined objectives as it lacks direct involvement in medical treatment, sports promotion, or educational support as outlined in the trust's objectives, the trust could've carried out some of these charitable activities. However, the same is not conducted by the trust till date. Therefore, the activity does not meet the criteria for charitable purposes as stipulated in the trust deed.
Apparently, even the trust has realized the same and hence, the same has not been reported by it under the head 'Expenditure on the objects of the trust'. Also, the photographs submitted shows general gathering/
march past of people and does not relate to any charity. Further, the assessee has furnished documentary evidences related to legal fee and the same fails to meet the criteria of charitable activities.
5 Also, the assessee's earlier application filed in form 10AB on 30/09/2023 was rejected on 31/03/2024 on the ground of its failure to submit the requisite information/ documents. Also, the assessee's provisional registration in form 10AC u/s 12A(1)(ac) (vi) of the Act dt. 27/05/2021 was also cancelled. As such, the assessee had no valid provisional registration u/s 12A(1)(ac) (vi) of the Act at the time of filing the present application. In view of the above, the application No.CIT EXEMPTION, PUNE/2024-25/12AA/11603 in Form No.10AB under clause (iii) of section 12A(1)(ac) of the Income Tax Act, 1961 on 29/03/2024 filed by the assessee is hereby rejected. Needless to say that the provisional registration granted on 27/05/2021 under section 12AB read with section 12A(1)(ac) (vi) of the Income Tax Act, 1961 has already been cancelled vide order dt. 31/03/2024. 6.6 The applicant assessee has also stated that it is not given physical hearing in spite of requests made by it, which is not correct. The applicant was asked to submit the response / compliance on e-portal only but that is for the submission of documents and facilitation for the ITA Nos.2473 & 2606/PUN/2024 [A]
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assessee. It is also stated in all notices that "Personal attendance is not insisted". The purpose is to have e-compliance so that the record is maintained, in line with government policies to encourage digital records and reduce use of papers considering the environmental impact and also in line with rulings given by the Hon'ble Supreme Court and High Court etc where digital filing of documents / appeals is mandated.
Moreover, personal hearing is not insisted upon but also not prohibited and the applicant can always attend to explain its case. Therefore, contention of the assessee is not accepted and hereby rejected.
Considering the above facts discussed in the show notice and discrepancies noticed, the undersigned is not satisfied about the charitable nature and genuineness of activities of the assessee and compliance of requirements of any other law for the time being in force by the assessee as are material for the purpose of achieving its objects.
In view of the above, the application filed by the assessee is hereby rejected and the provisional registration granted on 27/05/2021 under section 12AB read with section 12A(1)(ac) (vi) of the Income Tax Act, 1961 is hereby cancelled.”
Assessee has filed copy of provisional registration dated 27.05.2021 valid till A.Y.2023-24 at page no.52 of the paper book. Earlier, Assessee had applied for registration u/s.12A(1)(ac)(ii) of the Act, on 31.03.2023 in Form No.10AB of the Act. The said application was rejected by ld.CIT(E)-Pune vide his order dated 05.09.2023(copy at page 75 to 78 of paper book).
1 Then, Assessee again applied on 30.09.2023 in Form 10AB for registration u/s.12A, which was rejected by ld.CIT(E) vide order dated 15.03.2024. Assessee filed appeal before ITAT against ld.CIT(E)’s order dated 15.03.2024. The appeal number in ITA Nos.2473 & 2606/PUN/2024 [A]
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ITA No.2606/PUN/2024 was also heard on 18.09.2025 along with ITA No.2473/PUN/2024. 4. It has been observed by ld.CIT(E) in the order that activities of the Assessee are not charitable as defined under section 2(15) of the Act, and these activities are not as per the objects of the Assessee
Society. Assessee is a society registered on 18.09.2019 by