BALJEET SADHNA KENDER TRUST,HARIDWAR vs. CIT(E), LUCKNOW

Let us decide first. In this case an application for registration of the Assessee trust u/s 12AA of the Act was filed on dated 11.05.2018 before the ld. Commissioner of Income Tax (Exemption), Lucknow which was taken into consideration, whileissuing notice dated 30.10.2018, by which the Assessee was asked to clarify specific queries regarding its application for registration on 19.11.2019. On the said date of hearing. Though the Assessee attended and filed part reply but failed to file books and vouchers for verification. Thereafter, the case was fixed on 22.11.2018, on which date none-appeared on behalf of the Assessee, however, an email was sent by the Assessee to the effect that as per order passed by the Hon’ble Uttarakhand High Court in Civil Revision No. 48/2002, the Hon’ble Court has dismissed the restoration application of Applicant/Assessee arising out of the succession case. Ultimately, the Ld. Commissioner decided the case as ex-parte and declined the registration to the Assessee by passingthe impugned order, mainly on the ground that the Assessee has failed to provide sufficient material to corroborate the charitable nature of the objects and genuineness of the activities.Despite being provided timely opportunity the applicant has not been able to substantiate its claim. Ld. Commissioner further held that I am unable to accept the applicant’s claim in absence of sufficient material required for formation of satisfaction.

Before us the ld. AR of the Assessee contended that though Assessee had filed paper book which contains all the details as required by the ld. Commissioner, however, the same does not reflect from the impugned order.

Considering the peculiar facts and circumstances of the case and without going into the controversy as to whether the Assessee had filed the relevant documents on or before the date of hearing, for the ends of the justice and for just decision of the case we are of the considered opinion that justice would be met by remanding the case to the file of the ld. Commissioner for decision afresh, suffice to say by affording reasonable opportunity of being heard to the Assessee. Hence, ordered accordingly.

In the result appeal i.e. ITA 364/Del/2019filed by the Assessee stands allowed.

Coming to this appeal pertains to non-grant of registration u/s 80G(5) of the Act. The ld. Commissioner dismissed the said application filed on 17.07.2018 on the ground that the applicantdid not send complete set of documents and the applicant trust neither registered u/s 12AA nor notified u/s 10(23C) of the Act and as per sub-rule (2) Rule 11AA of the Rules the application filed in form No. 10G for approval u/s 80G(5)(vi) of the Act is to be accompanied by a copy of registration certificate as per section 12AA/10(23C) of the Act. In this instant case the application is not accompanied by the above document(s). The applicant society/trust/samiti, even as on date is not registered u/s 12AA of the Act. Thus, the application filed in Form No. 10G is inherently deficient and this deficiency is not curable. We find that the ld. Commissioner rightly rejected the application of the Assessee as premature, being filed without following the conditions of section 80G(5) of the Act and hence, the appeal filed by the Assessee deserves dismissal, hence ordered accordingly.