SHREYASKAR JAIN EKTA SEVABHAVI CHARITABLE TRUST,DHULE vs. CIT EXEMPTION, PUNE

आदेश / ORDER

PER DR. MANISH BORAD, ACCOUNTANT MEMBER :

“1] The learned CIT(E) erred in rejecting application filed by the appellant trust for obtaining final registration u/s 12A merely on the technical ground that while filing the impugned application in Form 10AB, the appellant had inadvertently selected wrong sub clause (ii) of section 12A(1)(ac) instead of selecting the correct sub clause (iii) of section 12A(1)(ac) which was applicable to trusts who were provisionally approved u/s 12A without appreciating that the rejection of the application on such technical reasons was unjustified in view of the law consistently laid down by Hon'ble ITAT, Pune in several decisions.

2] The appellant submits that the CIT(E) has not pointed out any discrepancy on merits and the appellant trust is genuinely engaged in charitable activities and therefore, the CIT(E) may be directed to grant final registration u/s 12A to the appellant trust since he has rejected the approval merely on technical ground by disregarding the law consistently laid down by Hon'ble ITAT, Pune in various decisions which were binding on the learned CIT(E).

3] The appellant craves leave to add/alter/ amend any of the grounds of appeal.”

3. Briefly, the facts of the case are that the appellant trust filed application on Form No.10AB under clause (ii) of section 12A(1)(ac) for grant of regular registration of the Act on 22.03.2025. In order to verify the genuineness of activities of the appellant trust, the ld. CIT (Exemption) issued a notice dt. 05.05.2025 through ITBA portal calling upon the appellant trust to file certain information/clarification. Appellant furnished the requisite details. Thereafter, ld.CIT(E) issued another notice dated 14.08.2025 pointing out certain discrepancies in the details so furnished and the appellant in response furnished its reply. On due consideration of the response filed by the appellant, ld.CIT(Exemption) rejected the application by observing as under :

"7. The assessee furnished its reply on 21/08/2025. On verification of the details / documents submitted by the assessee it is seen that the assessee trust neither have regular registration u/s 12AB read with section 12A(1)(ac)(i)/12A(1)(ac) (iii) nor regular approval under section 10(23C) read with clause (i) / (iii) of first proviso to the said section therefore the assessee trust is not covered under the exclusions provided vide proviso to clause (ii) of section 12A(1)(ac) of the Act. In fact, the copy of order furnished by the assessee trust is actually an order of provisional approval under section 12AB read with section 12A(1)(ac)(vi) of the Income Tax Act, 1961 Therefore, the prerequisite for application under clause (ii) of section 12A(1)(ac) of the Act is not fulfilled in this case.

9. In view of the above, the application dated 22/03/2025 filed by the assessee trust in Form 10AB is hereby rejected.”

8. Since the facts and circumstances in are similar to that of issue of regular registration, the appeal pertaining to rejection of u/s.80G(5) of the Act is also remitted back to the file of ld.CIT (Exemption) for necessary adjudication in accordance with law.

Order pronounced on this 20th day of January, 2026.