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Facts
The assessee trust, provisionally registered u/s 12A(1)(ac)(vi), applied for final registration u/s 12AB and 80G(5) of the Income Tax Act. The CIT (Exemptions) rejected these applications and cancelled the provisional registration, alleging failure to provide documentary evidence and respond to clarifications regarding the genuineness and commencement of activities.
Held
The Tribunal noted that the CIT (Exemptions) rejected the applications without providing a reasonable opportunity to the assessee. With no objection from the Revenue, the Tribunal set aside the impugned orders and restored the matters to the CIT (Exemptions) to consider the applications afresh for registration u/s 12A/12AA and 80G(5), after providing reasonable opportunity to the assessee.
Key Issues
Whether the rejection of applications for registration under sections 12A/12AB and 80G(5) and the cancellation of provisional registration were valid when the assessee was allegedly not provided a reasonable opportunity to submit required details.
Sections Cited
12AB(1)(b)(ii)(B), 80G(5), 253(3), 12A(1)(ac)(vi), 12AB, 80G(5)(i), 12A, 12AA
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Income Tax Appellate Tribunal, ALLAHABAD BENCH, ALLAHABAD
Before: SHRI ANADEE NATH MISSHRA & SHRI SUBHASH MALGURIA
rejected the assessee’s application u/s 12A and u/s 80G without providing reasonable opportunity for providing the details called for by the learned CIT (Exemptions). He further submitted that the matters in dispute in these two appeals in respect of assessee’s applications u/s 12A and u/s 80G of the Act should be restored back to the file of the learned CIT (Exemptions) with the direction to pass de novo order in accordance with law after providing reasonable opportunity to the assessee. The learned Departmental Representative for Revenue expressed no objection to this. In view of the foregoing and in the specific facts and circumstances of the present appeals before us; we set aside the impugned orders of learned CIT (Exemptions) and restore the matters regarding the assessee’s applications u/s 12A/12AA of the Act and u/s 80G of the Act; back to his file with the direction to consider the applications of the assessee for registration u/s 12A/12AA of the Act and u/s 80G(5) of the Act afresh, and to pass de novo orders after giving reasonable opportunity to the assessee.
(E) In the result, both the appeals of the assessee are partly allowed for statistical purposes.
(Order pronounced in the open court on 17/07/2025)