SAFINDIA CHARITABLE TRUST,LUDHIANA vs. COMMISSIONER OF INCOME TAX ( EXEMPTIONS), CHANDIGARH

At the outset, the ld. counsel for the assessee has submitted that the application of the appellant trust for approval u/s 80G(5) has been arbitrarily rejected without considering the document filed on record and without appreciating the fact that the trust enjoys the registration of Charitable Trust u/s 12AA/12AB. The counsel argued that the questionnaire/letters issued by the CIT(E), Chandigarh has referred in the impugned order of rejecting application u/s 80G(5) were not received by the appellant trust either by post or by e-mail or by SMS. Consequently, the aforesaid notices issue from the Income Tax portal did not come to notice of the appellant. In support, the ld. AR has filed an affidavit of the appellant trust certifying the facts regarding the non receipt of the letters/questionnaire as above (APB, pg. nos. 58 to 59). Accordingly, he prayed that the matter may be restored back to the ld. CIT(E) to adjudicate the matter afresh after granting adequate opportunity of being heard.

Per contra, the ld. DR has no objection to the request of the ld. AR in view of the natural justice.

In view of the principles of natural justice, we consider it deem fit to restore the matter back to the CIT(E) to adjudicate the issue of approval u/s 80G(5) of the Act. The CIT(E) is directed to grant adequate opportunity of being heard and consider the written submission filed on record, the paper book comprising of 59 pages. No doubt, the assessee shall co-operate in the fresh proceedings before the ld. CIT(E).