SARASWATI SHISHU MANDIR MANAGING COMMITTEE,PURI vs. COMMISSIONER-OF-INCOME TAX(EXEMPTION), HYDERABAD

Brief facts of the case are that the assessee is a Charitable Trust and engaged in various charitable activities. Notices were issued in respect of proceedings under section 12A(1)(ac)(ii) of the Act to the address of the assessee mentioned in the Form No. 10AB to produce the copy of Memorandum of Association/Trust Deed for verification and to furnish a detailed reply on the specific information called for in the said notices. In response to the notices, the assessee-Trust submitted partial information only. Thereafter notice dated 12.11.2024 was issued to the assessee as a final opportunity to submit the other information also along with the reply to the above notice including relevant documentary evidences i.e. copy of latest three months GST returns, list of donors in respect of 80G claim, furnishing the documentary evidences with regard to expenditure incurred for the objectives as per Trust Deed/Memorandum of Association., but there was no compliance to the notices.

(A.Y. 2025-2026) Saraswati Sishu Mandir Managing Committee 3. The ld. CIT(Exemption) has given several opportunities to the assessee to substantiate its claim, but the appellant neither filed the written submission nor represented the case before the ld. CIT(Exemption). The ld. CIT(Exemption) passed the ex-parte orders dated 09.12.2024 and 11.12.2024 dismissing the appeals of the assessee.

Dissatisfied with the decision of the ld. CIT(Exemption), the assessee preferred appeals before the Tribunal.

At the time of hearing, ld. Counsel for the assessee prayed before the Bench that the impugned orders be set aside and remitted back to the file of ld. CIT(Exemption) for deciding it afresh.

The ld. D.R., on the other hand, submitted that the assessee should be more vigilant about its obligation towards prosecuting income tax proceedings. He argued to uphold the orders passed by the ld. CIT(Exemption).

We have duly considered the rival contentions and gone through the record carefully. The impugned orders are ex-parte order wherein application of the assessee for grant of registration under section 12AB have been rejected for want of prosecution. In the interest of justice, we deem it appropriate to set aside the orders and remit the issue to the ld. CIT(Exemption) for fresh adjudication.

(A.Y. 2025-2026) Saraswati Sishu Mandir Managing Committee 8. In the result, both the appeals of the assessee are allowed for statistical purposes. Order pronounced in the open Court on 27/05/2025.