FRIENDS GROUP MORABHAGAL CHARITBALE TRUST,SURAT vs. CIT(EXEMPTION), AHMEDABAD

On the facts and in circumstances of the case as well as law on the subject, the appellant Trust is qualifying for registration U/s 12A(1)(ac)(iii) of the Income Tax Act, 1961.

Appellant craves leave to add, alter or delete any ground(s) either before or in the course of hearing of the appeal.”

Rival submissions of both the parties have been heard and record perused. The learned Authorised Representative (ld.AR) of the assessee submits that he has very limited prayer before the Bench, that in all appeals/cases, the application for approval of fund under Section 80G(5)(iii) or registration of Trust under Section 12A/12AB of the Act were dismissed for want of reply by respective assessees. The ld. CIT(E) while issuing notice allowed very short period of time for making compliance, which resulted into non-submission of compliance in time. The ld. AR of the assessee submits that in majority of cases, the assessee while filing application in Form 10AB has furnished requisite information and details as required at the time of making application, yet, the assessee is still ready and willing to furnish all remaining details to prove the objects and activities of the respective assessee’s Trust. The ld. AR of the assessee submits that the appeals/matters may be restored back to the file of ld. CIT(E) with liberty to assessee to furnish requisite details. He undertakes on behalf of assessee Trust to be more vigilant in future in making timely compliance. In 1149, 1150 and 1151/Srt/2024, the assessees are having valid registration under Section 12A/12AB of the Act. Shree Surat Rana Samaj Vs CIT(E) & Ors Appeals 3. On the other hand, the learned Commissioner of Income Tax-Departmental Representative (ld. CIT-DR) for the revenue supported the order of ld CIT(E). However, on our specific question about restoring the matter back to the file of ld. CIT(E) for reconsideration of matter/appeals, he submits that the Bench may take appropriate view in accordance with law.

We have considered the submissions of both the parties and have gone through the order of ld. CIT(E) carefully in each of the cases. We find that in all cases, the respective application of assessee-trust either for registration under Section 12A/12AB or approval of fund under Section 80G(5)(iii) of the Act was rejected for want of proper submission. The principle of audi alteram partem which envisage that parties be are eligible for fair hearing or that no one should be condemned unheard. Thus, cconsidering the prayer of ld. AR of the assessee that he undertook on behalf of assessee-trust to be more vigilant in future in making compliance, this appeal of assessee is restored back to the file of ld. CIT(E) to pass the order afresh in accordance with law. Needless to direct that before deciding the application afresh, the ld. CIT(E) shall grant reasonable and fair opportunity of hearing to the assessee and further to allow to make further submission to prove the objects of assessee-trust and its activities. The assessee is also directed to file/furnish any other necessary information, if so desired. In the result, grounds of appeal