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Facts
The assessee filed an application for registration u/s.80G of the Act, two days prior to the grant of registration u/s.12A of the Act. The CIT(E) passed an order which was not a speaking order and did not explain the activities of the trust not being commensurate with its objectives.
Held
The appellate tribunal held that the order of the CIT(E) was not a speaking order. The tribunal restored the issues to the file of the CIT(E) for readjudication after granting the assessee an adequate opportunity of being heard.
Key Issues
Whether the CIT(E) order is a speaking order and if the trust activities are commensurate with its objectives.
Sections Cited
12A, 80G
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Income Tax Appellate Tribunal, CUTTACK BENCH CUTTACK
Before: SHRI GEORGE MATHAN & SHRI RAJESH KUMAR
(नििाारण वर्ा / Assessment Year : 2025-2026) Shri Satyanarayan Seva Samiti Vs CIT(Exemption), Bhubaneswar Itamati, Nayagarh, Odisha-752068 PAN No. :ABDTS 5486 Q (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) नििााररती की ओर से /Assessee by : Shri S.K.Agrawalla, CA राजस्व की ओर से /Revenue by : Shri Ashim Kumar Chakraborty, CIT-DR सुनवाई की तारीख / Date of Hearing : 23/07/2025 घोषणा की तारीख/Date of Pronouncement : 23/07/2025 आदेश / O R D E R Per Bench : This is an appeal filed by the assessee against the order of the ld. CIT(Exemption), Hyderabad dated 17.03.2025 for assessment year 2025- 2026.
It was submitted by the ld AR that the assessee has been granted registration u/s.12A of the Act vide order dated 19.03.2025. It was the submission that however, the registration u/s.80G of the Act has been rejected vide order dated 17.03.2025 i.e. two days prior to the grant of registration u/s.12A of the Act. It was the prayer that as the assessee has been granted registration u/s.12A of the Act, the assessee is liable to be granted registration u/s.80G of the Act.
In reply, ld. CIT-DR vehemently supported the order of the ld. CIT(E). It was the submission that the activities of the assessee are not Deed/MOA/AOA. It was the submission that the order of the ld. CIT(E) is liable to be upheld.
We have considered the rival submissions. A perusal of the facts in the present case clearly show that the ld. CIT(E) has adjudicated the application filed in form 10AB for registration u/s.80G of the Act two days prior to the grant of registration u/s.12A of the Act. Further a perusal of the order of the ld.CIT(E) shows that the order is not a speaking order, insofar as no details are coming out from the order of the ld.CIT(E). What are the activities of the trust which are not commensurate with the activities as per the objectives of the registered Deed of the assessee trust, has not been explained. This being so, in the interest of justice, the issues in this appeal are restored to the file of the ld. CIT(E) for readjudication afresh after granting the assessee adequate opportunity of being heard.