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Before: Shri V. Durga Rao & Shri Manjunatha, G.
आयकर अपीलीय अिधकरण, ’ए’ �ायपीठ, चे�ई IN THE INCOME-TAX APPELLATE TRIBUNAL ‘A’ BENCH, CHENNAI �ी वी दुगा� राव �ाियक सद� एवं �ी जी. मंजुनाथा, लेखा सद� के सम� Before Shri V. Durga Rao, Judicial Member & Shri Manjunatha, G., Accountant Member आयकर अपील सं./I.T.A. No.676/Chny/2023 Thiaga Sastha Trust, Vs. The Commissioner of Income Plot No. 34, Periyava Illam Veda Tax (Exemptions), Vidjhyarthi Nivas, Bhagyalakshmi Chennai. Nagar, Madambakkam, Chennai 600 073. [PAN:AAATT5309B] (अपीलाथ�/Appellant) (��थ�/Respondent) अपीलाथ� की ओर से / Appellant by : Shri K. Balasubramanian, Advocate ��थ� की ओर से/Respondent by : Shri Nilay Baran Som, CIT सुनवाई की तारीख/ Date of hearing : 07.02.2024 घोषणा की तारीख /Date of Pronouncement : 21.02.2024 आदेश /O R D E R PER V. DURGA RAO, JUDICIAL MEMBER: This appeal filed by the assessee is directed against the order of the ld. Commissioner of Income Tax (Exemptions), Chennai, dated 30.04.2023.
Brief facts of the case are that the assessee filed an application on 10.10.2022 in Form No. 10AB under Rule 11AA of the Income Tax Rules, 1962 seeking grant of approval under section 80G of the Income Tax Act, 1961 [“Act” in short]. The ld. CIT(E) has noted that as the applicant is an
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old trust continuing to exist since much before commencement of new regime of registration and enjoyed the benefit of exemptions under the Income Tax Act, it ought to have applied for registration/approval under new regime in Form 10A under section 80G(5)(i) of the Act by which it would have got registration/approval for 5 years by the CPC. Instead of that the applicant had wrongly made application in Form 10A under section 80G(5)(iv) of the Act and received provisional approval for 3 years. Therefore, the ld. CIT(E) rejected the application filed by the assessee.
Before us, the ld. counsel for the assessee has submitted that the assessee may be permitted to file an application in Form 10A and one more opportunity may be given to substantiate its case before the ld. CIT(E).
On the other hand, the ld. DR supported the order passed by the ld. CIT(E).
We have heard both the sides, perused the materials available on record and gone through order passed by the ld. CIT(E). The assessee filed an application dated 10.10.2022 in Form 10AB under Rule 11AA of the IT Rules seeking approval under clause (iii) of first proviso to sub-
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section (5) of section 80G of the Act. The application filed by the assessee was rejected by the ld. CIT(E) on ground that the applicant is an old trust continuing to exist since much before commencement of new regime of registration and enjoyed the benefit of exemptions under the Income Tax Act, it ought to have applied for registration/approval under new regime in Form 10A under section 80G(5)(i) of the Act by which it would have got registration/approval for 5 years by the CPC. Instead of that the applicant had wrongly made application in Form 10A under section 80G(5)(iv) of the Act and received provisional approval for 3 years.
We are of the view that the assessee filed an application under section 10A under section 80G(5)(iv) and suppose to file application under section 10A under section 80G(5)(i) of the Act, which is merely a technical breach, which may be cured by allowing the assessee to file application under section 80G(5)(i) of the Act. Hence, we set aside the order of the ld. CIT(E) and remit the matter back to the file of the ld. CIT(E) to allow the assessee to file application in Form 10A under section 80G(5)(i) of the Act with other required details and after examining the details with regard to grant of approval under section 80G, decide the issue in accordance with law.
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In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced on 21st February, 2024 at Chennai.
Sd/- Sd/- (MANJUNATHA, G.) (V. DURGA RAO) ACCOUNTANT MEMBER JUDICIAL MEMBER Chennai, Dated, 21.02.2024 Vm/- आदेश की �ितिलिप अ�ेिषत/Copy to: 1. अपीलाथ�/Appellant, 2.��थ�/ Respondent, 3. आयकर आयु�/CIT, 4. िवभागीय �ितिनिध/DR & 5. गाड� फाईल/GF.