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Facts
The assessee, a company engaged in Yoga and spirituality, applied for registration under Section 12A of the Income Tax Act. Provisional registration was granted, but the application for regular registration was rejected by the CIT(E) for failure to provide necessary documents. The assessee cited miscommunication and portal glitches as reasons for the delay.
Held
The Tribunal condoned the delay in filing the appeal and restored the issue to the CIT(E) for a fresh decision. The assessee is to be given another opportunity to submit the required information and documents.
Key Issues
Whether the CIT(E) erred in rejecting the application for registration without giving sufficient opportunity to the assessee, considering the circumstances of miscommunication and portal glitches.
Sections Cited
12AB(1)(b)(iii)(B), 12A(1)(ac)(iii), 12A, 8
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCHES: A : NEW DELHI
Before: SHRI S. RIFAUR RAHMAN & SHRI ANUBHAV SHARMA
Assessment Year: 2025-26 SKC Gyanyog Events Vs Income-tax Officer, Association, Ward-1, A-247, FF meera Bagh, Sonepat. Paschim Vihar, Near ST Mark School, Sunder Vihar, Delhi – 110 087. PAN: ABLCS0641L (Appellant) (Respondent) Assessee by : Shri N.K. Chand, Advocate & Shri Manish Upneja, CA Revenue by : Shri Jitender Singh, Sr. DR Date of Hearing : 02.09.2025 Date of Pronouncement : 17.09.2025 ORDER
PER ANUBHAV SHARMA, JM:
This appeal is preferred by the assessee against the order dated 21.06.2024 of the Commissioner of Income-tax (Exemption), Delhi (hereinafter referred to as the ‘ld. CIT(E)’ for short) u/s 12AB(1)(b)(iii)(B) of the Income Tax Act, 1961 (hereinafter referred as ‘the Act’) by the ITO, rejecting the application filed in Form 10AB for registration u/s 12A(1)(ac)(iii) of the Act.
On hearing both the sides, we find that the assessee is a company incorporated u/s 8 of the Companies Act, 2013 and claims to be into charitable activities in the field of Yoga and spirituality. The assessee had filed an application for registration u/s 12A of the Act and provisional registration was granted while the application for regular registration filed in Form 10AB has been rejected for the reason that the assessee has failed to provide necessary information/documents. The order of the ld.CIT(E) mentions that the applicant has sought time for collating and preparing the required documents upto 20.05.2024, however, the same were not filed. Consequently, the application was dismissed and the provisional registration was cancelled.
After taking into consideration the facts and circumstances, we find that the case of the assessee is that there was some miscommunication and functional glitches in assessing the portal. It is for this reason that even the appeal before this Tribunal was filed belatedly and the assessee has sought the condonation of the same. Accordingly, condoning the delay and admitting the appeal we restore the issue on merits to the files of the CIT(E) to give a fresh opportunity to the assessee for filing the relevant information and documents and decide the application afresh as per law. Order pronounced in the open court on 17.09.2025. Sd/- Sd/- (S. RIFAUR RAHMAN) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 17th September, 2025. dk