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Facts
The assessee filed an appeal against an order rejecting its application for registration under section 12AA of the Income Tax Act, 1961. The assessee claimed the rejection was due to technical reasons like not submitting documents on time or incorrect clause selection, not a lack of genuineness in their activities.
Held
The assessee filed an application to withdraw the current appeal, stating that a subsequent application for registration under section 12AB was filed and a separate appeal against that order was also filed. The assessee requested permission to withdraw the current appeal and pursue the appeal against the later order.
Key Issues
Whether the assessee can withdraw the appeal to pursue a subsequent appeal filed against a later order.
Sections Cited
12AA, 12AB
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “G” BENCH, MUMBAI
Before: SHRI AMIT SHUKLA & SHRI GIRISH AGRAWAL
O R D E R
PER GIRISH AGRAWAL, ACCOUNTANT MEMBER:
This appeal filed by the assessee is against the order of CIT(Exemption), Pune vide Order No. ITBA/EXM/F/EXM45/2022- 23/1051619480(1) dated 29.03.2023 passed u/s. 12AA of the Income- tax Act, 1961 (hereinafter referred to as the “Act”).
Grounds taken by the assessee are reproduced as under: “ 1. On the facts and in the circumstances of the case and in law rejection order was on account of he fact the appellant failed to submit the requisite documents in time, but the same was on the fact that there was no knowledge of those notice issued by the learned CIT (E), being the trustees are not techny savy, as such. Hence the said failure be considered as technical and venial in nature and neither deleberate 2. On the facts and in the circumstances of the case and in law the learned CIT (E) erred in rejecting application for grant of registration merely on the premise that there is a mismatch in the nature of activities in Form 10A and Form 10AB as such mistake in only technical and venial in nature and neither deliberate.
3. Your appellant prayed for grant of Final registration under section 12A of the Act.”
At the very outset, it is noted that assessee has moved an application dated 19.02.2026, requesting to allow withdrawal of his appeal filed before the Tribunal. Content of this application is reproduced as under: “APPLICATION FOR WITHDRAWAL OF APPEAL The Appellant most respectfully submits as under: 1. The present appeal has been filed against the order dated 29.03.2023 passed by the Commissioner of Income-tax (Exemptions), whereby the Appellant's application in Form 10AB was rejected on the ground of incorrect code / clause selection (Refer Exhibit-1), 2. The Appellant submits that the aforesaid rejection order was purely technical in nature and did not involve any adjudication on the objects or genuineness of the Appellant's activities, 3. Subsequently, after filing a fresh and correct application in Form 10A and obtaining provisional registration, the Appellant filed a fresh application in Form 10AB, which came to be rejected by a subsequent order dated 04.03.2024 on merits (Refer Exhibit-2).
4. The Appellant has now filed a separate appeal against the subsequent rejection order dated 04.03.2024, which is the operative and effective order governing the Appellant's registration under section 12AB of the Income-tax Act. 1961 (Refer Exhibit-3).
In view of the above, the appeal against the order dated 29.03.2023 is no longer necessary and is therefore not being pursued.
The Appellant therefore seeks permission of this Hon'ble Tribunal to withdraw the present appeal, with liberty to pursue the appeal filed against the subsequent order dated 04.03.2024. PRAYER In view of the above facts, the Appellant respectfully prays that this Hon'ble Tribunal may be pleased to: Allow this appeal to be withdrawn as it is no longer needed/not pressed, and Grant the Appellant liberty to pursue the appeal already filed against the subsequent order dated 04.03.2024.”
God is Love Charitable Trust. 3. No objection was raised by the ld. DR upon this withdrawal. Accordingly, application made by the assessee is allowed. The appeal is dismissed as withdrawn.
In the result, the appeal of the assessee is dismissed as withdrawn.