SHREE SURBHI EDUCATION TRUST,BANASKANTHA vs. THE CIT(EXEMPTION), AHMEDABAD

The present appeal has been filed by the Assessee against the order passed by the Learned Commissioner of Income Tax (Exemption), Ahmedabad [hereinafter referred to as “CIT(E)’] dated 19.02.2024 passed u/s. 12AB of the Income Tax Act, 1961 (here-in-after referred to as “the Act”).

The assessee in this appeal is aggrieved by the action of the CIT(E) in rejecting the application of the assessee for grant of registration u/s. 12A of the Income Tax Act.

The appeal is time barred of 198 days. A separate application for condonation of delay has been filed accompanied with the affidavit of the trustee, wherein, it has been explained that the concerned accountant who was looking after the tax affairs of the trust, had left the job and the trustees were not aware of the pendency of the application for registration and final outcome of the same. Considering the aforesaid application, which is supported with the affidavit of the trustee, the delay in filing the appeal is hereby condoned.

At the outset, the ld. counsel for the assessee has submitted that the ld. CIT(E) has rejected the application on the ground that the assessee has failed to furnish the required details relating to the activities of the assessee trust and therefore, the CIT(E) held that the assessee had failed to file any documentary evidence to satisfy him about the genuineness of the activities of the trust and whether the same were in consonance of the objects of the trust. He, therefore, dismissed the application of the assessee for registration u/s. 12A of the Act.

Before us, the ld. counsel for the assessee submitted that the required details were uploaded on the portal, however, the same, somehow, escaped the attention of the Ld. CIT(E). He further submitted that as the concerned accountant had left the job, therefore, the matter could not be perused properly before the Ld. CIT(E). Considering the above submissions and in the interests of justice, the impugned order of the CIT(E) is set aside and the matter is restored to the file of Ld. CIT(E) with a direction to decide the application of the assessee on merits after considering the details and evidences as may be furnished by the assessee. It is further directed that the assessee will promptly file the reply and details as and when called for by the Ld. CIT(E) and will not contribute in any unnecessary delay of the matter.