APJ ABDUL KALAM EDUCATION AND WELFARE TRUST,JAIPUR, RAJASTHAN V. CIT EXEMPTION, JAIPUR, JAIPUR, RAJASTHAN

ITA 84/JPR/2025

AI Insights

The case involves the APJ Abdul Kalam Education and Welfare Trust appealing against the order of the CIT(Exemption), Jaipur, which denied and revoked the trust's registration under Section 80G of the Income Tax Act, 1961. The CIT(Exemption) had rejected the trust's application due to the absence of regular registration under Section 12A, non-registration under the RPT Act, and failure to demonstrate the genuineness of its activities. The Tribunal noted a previous decision in favor of the trust regarding registration under Section 12AB and directed that the appeal under Section 80G be considered concurrently with the Section 12AB appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 708750 (ITAT-JAIPUR)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-07-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Assessment Year: 2023-2024
• Other Referred Cases: Rural Education and Women Welfare Society Sas Nagar
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: RAJESH OJHA
• Assessee Lawyers: DEEPAK SHARMA; THRU
• Section: 12AA; 12A; 80G

Judgement Text

"vk;djvihyh; vf/kdj.k] t;iqjU;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”A’’ JAIPUR Mk0 ,l- lhrky{eh]U;kf;dlnL; ,oaJhjkBkSM+ deys'kt;UrHkkbZ] ys[kk lnL; ds le{k BEFORE: DR. S. SEETHALAKSHMI, JM & SHRI RATHOD KAMLESH JAYANTBHAI, AM vk;djvihyla-@ITA. No. 84/JPR/2025 fu/kZkj.ko\"kZ@AssessmentYear : 2023-24 APJ Abdul Kalam Education And Welfare Trust 3GA7, Housing Board, Shastri Nagar Jaipur – 302 016 cuke Vs. The CIT(Exemption) Jaipur LFkk;hys[kk la-@thvkbZvkjla-@PAN/GIR No.: AAJTA 3141 K vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksjls@Assesseeby : Shri Deepak Sharma, CA (Thru: V.C.) jktLo dh vksjls@Revenue by : Shri Rajesh Ojha, CIT -DR a lquokbZ dh rkjh[k@Date of Hearing : 09/07/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement : 15 /07 /2025 vkns'k@ORDER PER: DR. S. SEETHALAKSHMI, J.M. This appeal filed by the assessee is directed against order of the ld. CIT(E), Jaipur dated 26-12-2024 raising therein following grounds of appeal. ‘’1. The impugned order dated 26-12-2024, which rejects the approval u/s 80G(5) and cancels the provisional registration u/s 80G(5)(vi) of the Act, is legally and factually flawed. It suffers from a lack of jurisdiction and several other deficiencies, and as such, it ought to be completely quashed. 2. The ld. CIT (Exemption) has erred in denying the approval sought u/s 80G(5)(iii) of the Act and in revoking the provisional registration granted u/s 80G(5)(vi) of the Act, dated 03.08.2022, This action is unlawful, unjustified, and arbitrary. Such denial being contrary to the both the provisions of law and facts on record, the registration as prayed, kindly be granted. 3. The ld. CIT (Exemption) has further erred, both in law and on the facts of the case, by denying the registration sought u/s 80G(5) of the Act on the grounds of the absence of regular registration u/s 12A and non-registration under the RPT 2 ITA NO. 84/JPR/2025 APJ ABDUL KALAM EDUCATON AND WELFARE TRUST VS CIT (E), JAIPUR Act, 1959. In light of this, it is respectfully requested that the Id. CIT (Exemption), Jaipur, be directed to grant the registration as sought. 4. The ld. CIT (Exemption) further erred, both in law and on the facts of the case, by denying the registration sought us 80G(5) of the Act on the grounds that the appellant failed to demonstrate the genuineness of its activities and did not fulfill the conditions stipulated under the provisions. Such findings are contrary to the provisions of law and the facts on record. Therefore, it is respectfully requested that the Id. CIT (Exemption), Jaipur, be directed to grant the registration as sought.’’ 2.1 Apropos grounds of appeal of the assessee trust, it is noticed that the ld. CIT(E) has rejected application of the assessee trust u/s 80G of the Act by observing as under:- ‘’05. The assessee has failed to furnish requisite details/documents/activities/evidences etc. in support of its claim in form No. 10AB. In view of above discussion assessee's claim of approval under section 80G(5) is liable to be rejected and thus being rejected on following grounds: -  Absence of regular registration u/s 12A  Non registration with RPT Act 1959  Genuineness of Activities 5. Further 12AB (1)(b)(ii)(B) of the Income Tax Act, 1961 also state that if CIT is not satisfiedhas to pass order rejecting such applicationand also cancelling its earlier registration. Thus, it is clarified that applicant's provisional registration under clause (iv) of first proviso to sub-section (5) of section 80G of the Income Tax Act, 1961 dated 03.08.2022 is also being cancelled. Further assessee has failed to give proper justification for regularization of provisional registration, thus with this order provisional registration is also cancelled.’’ 2.2 During the course of hearing, the ld.AR of the assessee has drawn the attention of the Bench that ITAT Jaipur Bench in ITA No.567/JPR/2024 vide its 3 ITA NO. 84/JPR/2025 APJ ABDUL KALAM EDUCATON AND WELFARE TRUST VS CIT (E), JAIPUR order dated 15-01-2025 in the case of the assessee trust i.e. APJ Abdul Kalam Education and Welfare Trust had passed the following order:- ‘’16. In view of the facts discussed (supra) alongwith decision of the Hon’ble Apex Court in the case of Rural Education and Women Welfare Society Sas Nagar, we are of the opinion that the observations of the Ld. CIT (E), Jaipur are baseless and can’t be used against the assessee to refuse registration u/s. 12AA of the Act. In the result, it is found that the observations of the Ld. CIT (E), Jaipur has no legs to stand and the activities of the assessee are not under any challenge, which warrants rejection of registration. Relevant ground on this issue raised by the assessee is allowed and the Ld. CIT (E), Jaipur, directed to accept the reply of the assessee in Toto. 17. In the result, the appeal of the assessee is allowed for statistical purposes. He further submitted that the assessee trust has already applied for registration under RPT Act, 1959 and the same shall be submitted before the ld. CIT(E) as soon as it is received. He further submitted that the issue of registration/s 12AB is still pending before the ld.CIT(E) and no communication has been received from the ld. CIT(E) so far as to the order passed by the ITAT Jaipur Bench dated 15-01- 2025 (supra) relating to registration of the trust u/s 12AB of the Act. 2.3 On the other hand, the ld. DR supported the order of the ld CIT(E). 2.4 We have heard both the parties and perused the materials available on record. It is pertinent to mention that since this co-ordinate bench has already restored the appeal of the assessee with regard to the registration u/s 12AB of the 4 ITA NO. 84/JPR/2025 APJ ABDUL KALAM EDUCATON AND WELFARE TRUST VS CIT (E), JAIPUR Act to the file of the ld. CIT(E) for afresh adjudication vide order dated 15-01- 2025 (supra), therefore, the outcome of appeal of the assessee u/s 80G of the Act is consequential in nature and it does not require any interference by the Bench as it correlates to the appeal of the assessee u/s 12AB of the Act. The ld. CIT(E) is directed to dispose of this appeal of Section 80G alongwith with the appeal of the assessee trust u/s 12AB of the Act. 3.0 In the result, the appeal of the assessee is allowed for statistical purposes Order pronounced in the open court on 15 /07/2025. Sd/- Sd/- ¼jkBksM deys'kt;UrHkkbZ ½ ¼MkWa-,l-lhrky{eh½ (RATHOD KAMLESH JAYANTBHAI) (Dr. S. Seethalakshmi) ys[kk lnL; @Accountant Member U;kf;dlnL;@Judicial Member Tk;iqj@Jaipur fnukad@Dated:- 15 /07 /2025 *Mishra vkns'k dh izfrfyfivxzsf’kr@Copy of the order forwarded to: 1. vihykFkhZ@The Appellant- APJ Abdul Kalam Education and Welfare Trust,Jaipur 2. izR;FkhZ@The Respondent- The ld. CIT(E), Jaipur. 3. vk;djvk;qDr@CIT 4. foHkkxh; izfrfuf/k] vk;djvihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur. 5. xkMZQkbZy@Guard File {ITA No. 84/JPR/2025} vkns'kkuqlkj@By order lgk;diathdkj@Asst. Registrar "