THERA VIPASHANNA TRUST,OSMANABAD vs. EXEMPTION WARD, NANDED

This appeal filed by the assessee is directed against the order dated 04.09.2025 passed by Ld. CIT, Exemption, Pune rejecting the application for approval u/s 80G(5) of the IT Act.

Facts of the case, in brief, are, that the assessee filed its application for registration in Form No.10AB under clause (iii) of first proviso to sub-section (5) of section 80G of the IT Act on With a view to verify the genuineness of activities of the assessee and fulfillment of conditions laid down in clauses (i) to (v) of section 80G(5) of the IT Act, a notice was issued through ITBA portal on 11.03.2025 requesting the assessee to upload certain information/clarification on or before 25.03.2025. In reply to the said notice, the desired information was furnished by the assessee. On verification of the information furnished by the assessee, Ld. CIT, Exemption, Pune found certain discrepancies, therefore, issued another notice on 21.05.2025 and asked the assessee to furnish various other details. Not being satisfied with the explanation furnished by the assessee in response to notice dated 21.05.2025, Ld. CIT, Exemption, Pune was of the opinion that the application for approval u/s 80G(5) of the IT Act is not filed within the time allowed under clause (iii) of first proviso to section 80G(5) of the IT Act & in view of the above fact the application filed by the assessee is rejected. It is this order against which the assessee is in appeal before this Tribunal.

Ld. AR appearing from the side of the assessee submitted before us that the order passed by Ld. CIT, Exemption, Pune is not justified. Ld. AR submitted that the provisional approval was granted upto 31.03.2026 & the assessee was entitled to apply for regular approval prior to six months of expiry of provisional approval i.e. on or before 30.09.2025. Ld. AR also submitted that the activities were not commenced however due to mistake it was mentioned before Ld. CIT, Exemption, Pune that the activities were commenced on 30.04.2023. Accordingly, it was the contention of Ld. Counsel of the assessee that the application for approval was filed within the time limit prescribed under the Statute. Accordingly, Ld. AR requested before the Bench to set-aside the impugned order passed by Ld. CIT, Exemption, Pune, & requested to remand the matter back to him with a direction to treat the application as filed within time & decide the application for registration u/s 80G of the IT Act afresh.

Ld. DR appearing from side of the Revenue relied on the order passed Ld. CIT, Exemption, Pune, & requested to confirm the same.

We have heard Ld. Counsels from both the sides and perused the material available on record including the paper book furnished by the assessee. In this regard, we find that admittedly the provisional registration u/s 80G was granted upto 31.03.2026 and the activities were not commenced, therefore the assessee could have filed the application for final approval within six months prior to end of provisional registration i.e. on or before 30.09.2025. In the instant case in hand, the assessee has already filed its application on 20.01.2025 i.e. well before the prescribed time limit. We also find that the application was rejected on technical ground of delay & nothing adverse was found on merits of the case. Considering the totality of the facts of the case & in the interest of justice, we deem it appropriate to set-aside the order passed by Ld. CIT, Exemption, Pune & remand the matter back to him with a direction to treat the application as filed in time & decide the same afresh on merits of the case as per fact & the law after providing reasonable opportunity of hearing to the assessee. The assessee is also hereby directed to comply with the notices issued by Ld. CIT, Exemption, Pune and produce requisite documents/information in support of the application for approval without taking any adjournment under any pretext, otherwise Ld. CIT, Exemption, Pune shall be at liberty to