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Facts
The assessee filed an application for registration of a Trust under Section 12A(1)(ac)(ii) of the Income Tax Act. The CIT(E) rejected the application due to non-compliance with requests for documents.
Held
The Tribunal set aside the order of the CIT(E) and allowed the assessee an opportunity to produce the required documents, directing the assessee to regularly check their notified email addresses for compliance.
Key Issues
Whether the assessee should be granted another opportunity to provide documents after the CIT(E) rejected the registration application due to non-compliance with email notices.
Sections Cited
12A(1)(ac)(ii)
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Income Tax Appellate Tribunal, AHMEDABAD “A” BENCH, AHMEDABAD
PER NARENDRA PRASAD SINHA, ACCOUNTANT MEMBER:
This is an appeal filed by the assessee against the order of the Commissioner of Income Tax (Exemption), Ahmedabad (in short “the CIT(A)”) dated 17.07.2025 in the proceedings under Section 12A(1)(ac)(ii) the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’).
The brief facts of the case are that the assessee had filed an application in Form No.10AB of the Act with the CIT(E) for the registration of the Trust under Section 12A(1)(ac)(ii) of the Act. The Ld. CIT(E) vide Shri Sorath Visha Shreemali Jain Samaj vs. CIT(E) Page 2 of 4 letters dated 19.03.2025 and 23.03.2025 had directed the assessee Trust to file certain documents in respect of the nature of activities undertaken in last 3 years, the details of expenditure incurred towards objects of the Trust, audit reports for the last 3 years, copy of Trust deed etc. However, no compliance was made by the assessee. Therefore, the Ld. CIT(E) vide the impugned order had rejected the application of the assessee.
Aggrieved with the order of the CIT(E), the assessee is in appeal before us. The following grounds have been taken in this appeal:-
“1. That the Ld. CIT(Exemption), Ahmedabad, has erred in law and facts by rejecting the application in Form No.10AB u/s 12A(1)(ac)(ii) of the Act, for the Registration under section 12A(1)(ac) of the Act and therefore your Honors are requested to direct the CIT (Exemption) to grant registration under section 12A(1)(ac) of the Act. 2. That your appellant craves liberty to add, amend, alter and delete any grounds of appeal before the final hearing”
Shri Prakash D. Shah, Ld. AR of the assessee submitted that the Ld. CIT(E) had sent the notices on e-mail id ketanrajmehta@gmail.com which was the e-mail id as per the return of income filed for the A.Y. 2024- 25. He submitted that as per the portfolio of the assessee on Income Tax Portal, the e-mail id. of the active Trustee was rajeshmehta.swastik@gmail.com and that this e-mail id was also mentioned in the Form No.10AB for communication. The Ld. AR submitted that the notices of the Ld. CIT(E) could not be complied for the reason that the e-mail id on which notice was sent was not regularly accessed. He, therefore requested that the assessee may be allowed another opportunity to make compliance and furnish the required documents before the Ld. CIT(E) by setting aside the matter.
Shri Sorath Visha Shreemali Jain Samaj vs. CIT(E) Page 3 of 4
Per contra, Shri Alpesh Parmar, Ld. CIT-DR had no objection to the setting aside the matter to the Ld. CIT(E) for allowing another opportunity to the assessee.
We have considered the request of the assessee. The Ld. CIT(E) had rejected the application of the assessee for the reason that the details and documents as requisitioned by him were not furnished. The contention of the assessee is that compliance could not be made before the Ld. CIT(E) for the reason that the e-mail id on which the notices were sent by the Ld. CIT(E) were not regularly accessed. In the interest of justice, we, therefore, deem it proper to set aside the matter to the file of Ld. CIT(E) with a direction to allow another opportunity to the assessee to produce the documents and details as required. At the same time, the assessee is also directed to regularly access all the e-mail accounts which are intimated to the Department either in Form No.10AB or in the Income Tax Return/Income Tax Portal, in order to timely access the notices sent by the Ld. CIT(E) and to make compliance of the same.
In the result, appeal of the assessee is allowed for statistical purpose.
Order pronounced in the open Court on this 7th October, 2025.