SWANAND SOCIAL FEDERATION,PUNE vs. EXEMPTION, CIRCLE, PUNE, PUNE

ORDER PER DR. DIPAK P. RIPOTE, AM: These two appeals filed by the assessee are directed against the separate orders ld.Commissioner of Income Tax(Exemption), Pune rejecting assessee‟s application for grant of registration u/s.12A r.w.s 12A and 80G(5) of the Income Tax Act, 1961(hereinafter referred to as „the Act‟) both dated 18.09.2025. For the sake of convenience, these two appeals were heard together and are being & 2678/PUN/2025 [A] disposed of by this common order. We treat the appeal in as lead case.

1. 2.2 It is an admitted fact that the Assessee Company i.e. Swanand Social Federation had given Rs.50,000/- to Mr.Sanjeev Sumatilal Shah on 01.10.2024 and Rs.2 lakhs on 02.10.2024 to Mr.Sanjeev Sumatilal Shah. Ld.AR for the Assessee has accepted this fact. However, ld.AR submitted that Mr.Sanjeev Sumatilal Shah had given Rs.2 lakhs to Swanand Social Federation on 02.08.2024, and Rs.50,000/- on 05.08.2024 which was returned by Swanand Social Federation. We specifically asked ld.AR whether Swanand Social Federation had given any receipt to Mr.Sanjeev Sumatilal Shah for 3 the amount of Rs.2,50,000/- claimed to have been given by him.

& 2678/PUN/2025 [A] However, ld.AR submitted that there must be a receipt and he will submit it.

1. 2.3 Ld.AR further submitted that ld.CIT(E) has not given opportunity to explain the impugned transaction of Rs.2,50,000/-. Ld.AR submitted that had ld.CIT(E) provided the opportunity, Assessee could have explained all the facts. Ld.AR submitted that Assessee may be given opportunity to explain the facts before ld.CIT(E).

2.4 Ld.Departmental Representative(ld.DR) for the Revenue relied on the order of ld.CIT(E).

2.5 We also noted from the paper book that Assessee has filed copy of Profit and Loss Account at page no.44 of the paper book. The Net Profit shown is Rs.9,08,025/- and Total Receipts were Rs.24,11,196/-. Accordingly, the profit comes to 37%.

2.6 We have also noted from the Objects of the company which are at page no.15 to 21 of the paper book that some of the objects are as under:  Run Healthcare Centre  Run Gymnasium 4  Run Yoga centre & 2678/PUN/2025 [A]  Run Laboratories  To conduct Fitness Camp, Yoga Camp.  To promote and protect intellectual properties through apply, purchase of otherwise acquire and protect and renew in any part of the world any patents, rights, brevets of invention, trademarks, licenses, copyrights, concessions and the like conferring any exclusive or non-exclusive or limited right their use or any secret or other information as to any invention which may seem capable of being used for any of the purposes of the Company or the acquisition of which may seem calculated, directly or indirectly, to benefit the company and to use, exercise, develop or grant licenses in respect thereof or otherwise, turn to account the property rights or information so acquired and to expend funds in experimenting upon, testing or improving any such patents, inventions or rights.

2.7 It is a fact that ld.CIT(E) has not commented on objects and activities of the Assessee Company in his order.

2.8 However, it is a fact Assessee had not got sufficient opportunity to explain the issue of violation of any other Act, alleged by ld.CIT(E). In these facts and circumstances of the case, in the interest of justice, we set-aside the order of ld.CIT(E) to ld.CIT(E) for denovo adjudication. Ld.CIT(E) shall provide opportunity to the Assessee. Assessee shall file all the necessary details before the ld.CIT(E). Accordingly, grounds of appeal raised by the Assessee are allowed for statistical purpose. 5 & 2678/PUN/2025 [A]