D L AGARWALA CHARITABLE TRUST,NORTH TWENTY FOUR PARGANAS V. CIT (EXEMPTION), , KOLKATA

ITA 556/KOL/2025

AI Insights

The case involves D L. Agarwala Charitable Trust, which appealed against the orders of the Commissioner of Income Tax (Exemption), Kolkata, rejecting their applications for registration under sections 12A and 80G of the Income Tax Act. The Tribunal noted that the Trust had filed the application in the correct extended period but mistakenly used Form 10AB for section 12A(1)(ac)(iii) instead of section 12A(1)(ac)(i). The Tribunal decided to remit the matter back to the CIT(E) for a fresh evaluation, considering similar precedents where the Tribunal had remanded the issue under comparable circumstances.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 782340 (ITAT-KOLKATA)
• Duration Of Justice: 7 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-10-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 21-03-2025
• Other Referred Cases: Purnima Bhadra Charitable Trust vs. CIT (Exemption), Kolkata in ITA No.537&538/Kol/2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Charitable institution
• Section: 12AA; 12A; 80G

Judgement Text

"आयकर अपीलȣय अͬधकरण, कोलकाता पीठ, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH KOLKATA Before Shri Rajesh Kumar, Accountant Member and Shri Pradip Kumar Choubey, Judicial Member ITA Nos.555&556/Kol/2025 D L. Agarwala Charitable Trust……………..……….……….……….……Appellant 336, Canal Street, Sreebhumi S O Lake Town, North 24 parganas, W.B- 700048.. [PAN: AABTD5563G] vs. CIT (Exemption), Kolkata………………………………….....……...…..…..Respondent Appearances by: Shri Raju Mukherjee, FCS & N. D Mimani, FCA appeared on behalf of the appellant. Shri Raja Sengupta, CIT- DR, appeared on behalf of the Respondent. Date of concluding the hearing : October 16, 2025 Date of pronouncing the order : October 27, 2025 ORDER Per Pradip Kumar Choubey, Judicial Member: Both the present appeals have been preferred by the assessee against separate orders both dated 23.03.2012 of the Commissioner of Income Tax (Exemption), Kolkata [hereinafter referred to as ‘CIT(E)’] rejecting the separate applications filed in Form 10AB for final approval as per the provisions of sections 12A(1)(ac)(iii) & 80G(5)(iii) of the Income Tax Act (hereinafter referred to as the ‘Act’) respectively. Since both the appeals relate to the same assessee and arise from the final registration u/s 12A of the Act which is compulsory for getting subsequent registration u/s 80G of the Act which are interconnected in both the appeals and therefore, these appeals were heard together and we are going to dispose of these appeals by passing a consolidated order. 2. Both the appeals have been filed by the assessee with delays of 21 days. The assessee has filed affidavits for condonation of the delays. Printed from counselvise.com ITA Nos.555&556/Kol/2025 D L. Agarwala Charitable Trust 2 After considering the reasons cited in the affidavits for condonation of delay, we find that the reasons are valid and consequently, the delays in filing both the appeals are hereby condoned and we proceed to dispose of the appeals on merits. 3. ITA No.555/Kol/2025 is taken as lead case for narration of facts. 4. Brief facts of the case are that the assessee being a charitable trust filed an application on 27.06.2024 for registration u/s 12A(1)(ac)(iii) of the Act in Form 10AB. The assessee submitted reply with supporting documents in compliance to the notice but failed to submit the provisional registration certificate in Form 10AC for 12A. As a result of which the application of the assessee has been rejected. 5. Aggrieved by the said order, the assessee preferred appeal before us. The ld. AR challenges the very impugned order thereby submitting that the assessee is a charitable trust engaged in charitable activities and it was registered as a charitable trust u/s 12AA and 80G vide order dated 23.03.2012. The ld. AR submits that the ld. CIT(E) has cancelled the registration because of non-filing of form 10A for section 12A ignoring the fact that being an old trust, there was no need of applying for provisional registration. Form 10AB has been filed by the assessee on 27.06.2024 which is within the extended period. However, due to unawareness of the new law, the assessee has applied Form 10AB for section 12A(1)(ac)(iii) in place of section 12A(1)(ac)(i) of the Act. The prayer of the ld. AR is that the matter be remitted back to the file of the ld. CIT(E) for fresh consideration with an opportunity to file documentary evidences as required. The ld. AR relied on the decision of the Coordinate Kolkata Bench in the case of Purnima Bhadra Charitable Trust vs. CIT (Exemption), Kolkata in ITA No.537&538/Kol/2025 and stated that under similar circumstances, the Tribunal remanded back the issue to the ld. CIT(E) for fresh consideration. Printed from counselvise.com ITA Nos.555&556/Kol/2025 D L. Agarwala Charitable Trust 3 6. The ld. DR did not raise any objection to the above submission of the ld. AR of the assessee. 7. Upon hearing the counsels of the respective parties and on perusal of the impugned order, we find that the assessee failed to submit the provisional registration certificate in Form 10AC. We also find that the assessee due to unawareness of the new law had applied Form 10AB for section 12A(1)(ac)(iii) instead of applying section 12A(1)(ac)(i) of the Act. Keeping in view the prayer of the assessee and considering the decision referred by the ld. AR, in the interest of justice, we restore the appeal of the assessee to the file of the ld. CIT(E) for fresh consideration and to pass a speaking order in accordance with law after keeping in mind the facts as well as documents filed by the assessee. Accordingly, ITA No.555/Kol/2025 is allowed for statistical purposes. 8. ITA No.556/Kol/2025 - Since we have already remitted ITA No.555/Kol/2025 for fresh consideration of the ld. CIT(E) and in this instant appeal, the ld. CIT(E) rejected registration u/s 80G(5) of the Act due to rejection of application u/s 12A, therefore, ITA No.556/Kol/2025 is also allowed for statistical purposes. 9. In the result, both the appeals of the assessee are allowed for statistical purposes. Kolkata, the 27th October, 2025. Sd/- Sd/- [Rajesh Kumar] [Pradip Kumar Choubey] Accountant Member Judicial Member Dated: 27.10.2025. RS Printed from counselvise.com ITA Nos.555&556/Kol/2025 D L. Agarwala Charitable Trust 4 Copy of the order forwarded to: 1. Appellant - 2. Respondent - 3. CIT(A)- 4. CIT- , 5. CIT(DR), //True copy// By order Assistant Registrar, Kolkata Benches Printed from counselvise.com "