Section 80G(5) of the Income Tax Act

Income-tax Act, 2025: s.133

Section 80G(5) falls under section 80G of the Income-tax Act, 1961, which corresponds to section 133 (Deduction in respect of donations to certain funds, charitable institutions, etc) of the Income-tax Act, 2025.

Read section 133 of the 2025 Act

Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.

The decision most relied on for Section 80G(5) is Sree Meenakshi Mills Ltd. v. Commissioner of Income Tax (31 ITR 28), cited in 137 of the 2,236 judgments on BharatTax that turn on this section.

Leading authorities on Section 80G(5)

Sree Meenakshi Mills Ltd. v. Commissioner of Income Tax
31 ITR 28 · 1957 · Supreme Court
137
citing judgments

Expenditure incurred for commercial expediency, even without a direct or immediate benefit but indirectly facilitating business, is deductible as laid out wholly and exclusively for trade. The scope of reference jurisdiction under Section 66 is limited to questions of law, allowing challenges to Tribunal findings of fact only if they are perverse, unreasonable, or lack evidence.

CIT v. Dawoodi Bohra Jamat
364 ITR 31 · 2014 · Supreme Court
83
citing judgments

A trust's objects, even if based on religious tenets, can qualify as charitable for tax exemptions if its benefits are not exclusively restricted to a particular religious community or caste.

CIT v. Parma Nand
268 ITR 172 · 2004 · High Court
81
citing judgments

Whether there was sufficient cause for delay in making applications for registration under section 12A and 80G is always a question of fact, and contumacious conduct by the assessee must be established for levying penalty under section 271C for non-deduction of TDS.

Udhavdas Kewalram v. CIT
66 ITR 462 · 1967 · Supreme Court
59
citing judgments

The Income-tax Appellate Tribunal performs a judicial function under the Indian Income-tax Act, invested with authority to finally determine all questions of fact. When deciding an appeal, the Tribunal must consider all material facts with due care, record findings on all contentions, and maintain a judicial balance between the revenue and taxpayer claims. The power to condone delay by enacting section 5 of the Limitation Act of 1963 enables courts, including the Tribunal, to do substantial justice, with "sufficient cause" being an elastic expression.

Shree Swaminarayan Gadi Trust v. CIT
162 Taxmann.com 772 · 2024 · Reported
44
citing judgments

Where a trust application has a curable defect, the assessee should be allowed an opportunity to explain and rectify the defect before the CIT (Exemption). The appellate tribunal may allow the appeal and direct the CIT to reconsider the application.

Fifth Generation Education Society v. CIT
185 ITR 634 · 1990 · High Court
44
citing judgments

Registration under Section 12A and approval under Section 80G are distinct from assessment; issues relevant to assessing income under Section 11 cannot be grounds for rejecting an application for registration or approval.

CIT (Exemptions) v. Bayath Kutchhi Dasha Oswal Jain Mahajan Trust
74 Taxmann.com 199 · 2016 · High Court
35
citing judgments

Section 13(1)(b) of the Income Tax Act is applicable at the stage of granting exemption, not during the process of granting registration under section 12A/12AB, provided the trust's objects are charitable in character for the general public at large and not solely for the benefit of a particular religious community.

Bishnupur Public Education Institute v. Commissioner of Income Tax (Exemption)
139 Taxmann.com 121 · High Court
33
citing judgments

The delay in filing an application for approval under section 10(23C) cannot be condoned by the CIT (Exemption) if it is filed beyond the prescribed time limit, as this decision was affirmed by the Kolkata Tribunal in Bishnupur Public Education Institute.

CIT (Exemptions) v. Shree Tapeshwar Hanumanji Bajrang Charity Trust
122 Taxmann.com 98 · 2020 · High Court
30
citing judgments

Registration under Section 12A or 12AB of the Income-tax Act is a mandatory pre-condition for obtaining approval under Section 80G of the Act. Consequently, if an assessee lacks valid registration under Section 12A/12AB, their application for approval under Section 80G is liable to be rejected.

Esthuri Aswathiah v. CIT, Mysore
66 ITR 478 · 1967 · Supreme Court
29
citing judgments

The Income Tax Appellate Tribunal functions judicially and must decide all questions of fact and law before it. The Tribunal may act upon probabilities and use presumptions to bridge gaps in evidence, especially when conclusive proof is not available due to delays or the nature of transactions.

Judgments on Section 80G(5)

Divine Life Foundation, Siliguri vs. CIT(E), Kolkata.

In the result, the appeal of the assessee is treated as allowed for 8

ITA 1252/KOL/2023[N/A]Status: DisposedITAT Kolkata29 Feb 2024

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. No.1252/Kol/2023 Assessment Year : N/A Divine Life Foundation……………………............…...……………....Appellant Ground Floor, Nani Gopal Mansion, Milanpally, Siliguri-734005. [Pan: Aactd2194E] Vs. Cit, Circle-10(1), Kolkata…….............................................…..…..... Respondent Appearances By: Shri Giridhari Dhelia, Ar, Appeared On Behalf Of The Appellant. Shri Rakesh Kumar Das, Cit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : January 24, 2024 Date Of Pronouncing The Order : February 29, 2024 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 26.09.2023 Of The Commissioner Of Income Tax (Exemption), Kolkata [Hereinafter Referred To As ‘Cit(Exemption)’] Rejecting The Application Of The Assessee For Final Approval As Per The Provisions Of Section 80G(5)(Iii) Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Brief Facts Of The Case Are That The Assessee Was Already Registered/Approved U/S 80G(5) Of The Act As A Charitable Institution Since 2021. However, An Amendment Was Brought Into The Relevant Provisions Of Section 80G Of The Act Vide Taxation & Other Laws (Relaxation & Amendment Of Certain Provisions) Act, 2020 (Hereinafter Referred To As ‘Amendment Act Of 2020’) With Effect From 01.04.2021 Whereby, An

Section 80GSection 80G(5)Section 80G(5)(iii)

Radisson India Charitable Foundation, Gurgaon vs. CIT (Exemptins), Chandigarh

The appeals of the assessee are treated as allowed for statistical purposes

ITA 345/CHANDI/2023[2023-24]Status: DisposedITAT Chandigarh27 Feb 2024AY 2023-24

Bench: Shri Sanjay Garg & Shri Vikram Singh Yadavआयकर अपील सं./Ita Nos. 344 & 345/Chd/2023 "नधा"रण वष" / Assessment Year : 2023-24 Radisson India Charitable Foundation, Vs The Cit (Exemption), 1St Floor, Block-A Chimes, Chandigarh. Plot No.61, Sector 44, Gurgaon. "थायीलेखासं./Pan No: Aaetr3910L अपीलाथ"/Appellant ""यथ"/Respondent "नधा"रती क" ओर से/Assessee By: Shri Pradeep Dinodia, Ca राज"व क" ओर से/ Revenue By : Smt. Kusum Bansal, Cit, Dr सुनवाई क" तार"ख/Date Of Hearing : 14.02.2024 उदघोषणा क" तार"ख/Date Of Pronouncement : 27.02.2024 Hybrid Hearing आदेश/Order Per Sanjay Garg: The Present Appeal ( Ita 344/Chd/2023) Has Been Preferred By The Assessee Foundation Agitating Against The Action Of The Ld. Commissioner Of Income Tax (Exemptions), Chandigarh [Hereinafter Referred To As ‘Ld.Cit(E)’] Dated 29.03.2023 In Rejecting The Application Of The Assessee For Final Registration U/S 12A(1)(Ac) (Iii) Of The Income Tax Act, 1961 (In Short ‘The Act) Whereas Ita No. 345/Chd/2023 Is Relating To Rejection Of The Application Of The Assessee For

For Appellant: Shri Pradeep Dinodia, CAFor Respondent: Smt. Kusum Bansal, CIT, DR
Section 12ASection 12A(1)(ac)Section 80G(5)

Radisson India Charitable Foundation, Gurgaon vs. CIT (Exemptins), Chandigarh

The appeals of the assessee are treated as allowed for statistical purposes

ITA 344/CHANDI/2023[2023-24]Status: DisposedITAT Chandigarh27 Feb 2024AY 2023-24

Bench: Shri Sanjay Garg & Shri Vikram Singh Yadavआयकर अपील सं./Ita Nos. 344 & 345/Chd/2023 "नधा"रण वष" / Assessment Year : 2023-24 Radisson India Charitable Foundation, Vs The Cit (Exemption), 1St Floor, Block-A Chimes, Chandigarh. Plot No.61, Sector 44, Gurgaon. "थायीलेखासं./Pan No: Aaetr3910L अपीलाथ"/Appellant ""यथ"/Respondent "नधा"रती क" ओर से/Assessee By: Shri Pradeep Dinodia, Ca राज"व क" ओर से/ Revenue By : Smt. Kusum Bansal, Cit, Dr सुनवाई क" तार"ख/Date Of Hearing : 14.02.2024 उदघोषणा क" तार"ख/Date Of Pronouncement : 27.02.2024 Hybrid Hearing आदेश/Order Per Sanjay Garg: The Present Appeal ( Ita 344/Chd/2023) Has Been Preferred By The Assessee Foundation Agitating Against The Action Of The Ld. Commissioner Of Income Tax (Exemptions), Chandigarh [Hereinafter Referred To As ‘Ld.Cit(E)’] Dated 29.03.2023 In Rejecting The Application Of The Assessee For Final Registration U/S 12A(1)(Ac) (Iii) Of The Income Tax Act, 1961 (In Short ‘The Act) Whereas Ita No. 345/Chd/2023 Is Relating To Rejection Of The Application Of The Assessee For

For Appellant: Shri Pradeep Dinodia, CAFor Respondent: Smt. Kusum Bansal, CIT, DR
Section 12ASection 12A(1)(ac)Section 80G(5)

Tomorrow'S Foundation, Kolkatal vs. CIT(Exemption), Kolkata

In the result, the appeal of the assessee is treated as allowed for statistical purposes

ITA 367/KOL/2024[00]Status: DisposedITAT Kolkata27 Feb 2024

Bench: Shri Sanjay Garg & Dr. Manish Boradi.T.A. No.367/Kol/2024 Tomorrow’S Foundation…………….…................…...….…………....Appellant 417, Hossenpur, Kmc Ward No.108, West Bengal – 700107. [Pan:Aaatt4262B] Vs. Cit(Exemption), Kolkata…...…..........................................…..…..... Respondent Appearances By: Shri C. Roy, Ca, Appeared On Behalf Of The Appellant. Shri Abhijit Kundu, Cit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : February 27, 2024 Date Of Pronouncing The Order : February 27, 2024 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 11.02.2024 Of The Commissioner Of Income Tax (Exemption), Kolkata [Hereinafter Referred To As ‘Cit(Exemption)’] Rejecting The Application Of The Assessee For Final Approval As Per The Provisions Of Section 80G(5)(Iii) Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Brief Facts Of The Case Are That The Assessee Was Already Registered/Approved U/S 80G(5) Of The Act As A Charitable Institution Since 1999. However, An Amendment Was Brought Into The Relevant Provisions Of Section 80G Of The Act Vide Taxation & Other Laws (Relaxation & Amendment Of Certain Provisions) Act, 2020 (Hereinafter Referred To As ‘Amendment Act Of 2020’) With Effect From 01.04.2021 Whereby, An Institution, Which Has Already Been Approved Before The Aforesaid

Section 80GSection 80G(5)Section 80G(5)(iii)

Sri Aurobindo Bhawan Trust, Krishnagar vs. CIT(Exemption), Kolkata

In the result, the appeal of the assessee stands allowed

ITA 1058/KOL/2023[N/A]Status: DisposedITAT Kolkata20 Feb 2024

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. No.1058/Kol/2023 Sri Aurobindo Bhawan Trust, Krishnagar...........…...……………....Appellant Sri Aurobindo Bhawan, P.C. Bose Lane, Krishnagar-I, Nadia, W.B-741101. [Pan: Aaata3742K] Vs. Cit(Exemption), Kolkata…...…..........................................…..…..... Respondent Appearances By: None Appeared On Behalf Of The Appellant. Shri S. Datta, Cit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : February 01, 2024 Date Of Pronouncing The Order : February 20, 2024 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 14.08.2023 Of The Commissioner Of Income Tax (Exemption), Kolkata [Hereinafter Referred To As ‘Cit(Exemption)’] Rejecting The Application Of The Assessee For Final Approval As Per The Provisions Of Section 80G(5)(Iii) Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. No One Has Put On Appearance On Behalf Of The Assessee Despite Notice, However, Since The Issue Is Covered In Favour Of The Assessee, Therefore, We Proceed To Decide This Appeal After Hearing The Ld. Dr. 3. The Brief Facts Of The Case Are That The Assessee Was Already Registered/Approved U/S 80G Of The Act As A Charitable Institution Since 13.01.2012. However, An Amendment Was Brought Into The Relevant

Section 80GSection 80G(5)Section 80G(5)(iii)

Diamond Cares, Kolkata vs. CIT(Exemption), Kolkata

In the result, appeal of the assessee is allowed

ITA 877/KOL/2023[2023-24]Status: DisposedITAT Kolkata10 Jan 2024AY 2023-24

Bench: Shri Sanjay Garg, Hon’Ble & Shri Girish Agrawal, Hon’Blei.T.A. No. 877/Kol/2023 Assessment Year: 2023-24 Diamond Cares Commissioner Of Income Tax C/O M/S. Salarpuria Jajodia & Co. Vs (Exemption), Kolkata 7, C.R. Avenue 3Rd Floor Kolkata - 700072 [Pan : Aadtd7296A] अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee By : Shri Siddharth Jhajharia, Fca Revenue By : Shri Abhijit Kundu, Cit, D/R सुनवाई क" तारीख/Date Of Hearing : 12/12/2023 घोषणा क" तारीख/Date Of Pronouncement : 10/01/2024 आदेश/O R D E R Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Of The Learned Commissioner Of Income Tax (Exemption), [Hereinafter The “Ld. Cit(E)”] Dt. 28/06/2023. 2. The Assessee Is This Appeal Has Agitated Against The Action Of The Ld. Cit(E) In Rejecting The Application Of The Assessee For Final Approval U/S 80G(5)(Iii) Of The Income Tax Act, 1961 (In Short ‘The Act’). 3. Brief Facts Of The Case Are That The Assessee Trust Has Already Been Duly Registered U/S 12A(1)(Ac)(Iii) Of The Act For Assessment Year 2023-24 To 2027-28. The Assessee Trust Has Also Applied For Provisional Approval U/S 80G(5)(Iv) Of The Act Which Was Granted By The Ld. Cit(E) For The Period From 26/05/2022 To Assessment Year 2025-26. Subsequently, The Assessee Moved An Application For Final Approval U/S 80G(5)(Iii) Of The Act On 30/12/2022. However, The Ld. Cit(E) Has Rejected The Said Application. The Ld. Cit(E) In This Respect Referred To

For Appellant: Shri Siddharth Jhajharia, FCAFor Respondent: Shri Abhijit Kundu, CIT, D/R
Section 12ASection 12A(1)(ac)Section 80G(5)Section 80G(5)(iii)Section 80G(5)(iv)