GLOBAL CHAMBER OF SARASWAT ENTREPRENEURS ,MUMBAI V. COMMISSIONER OF INCOME TAX (EXEMPTION) , MUMBAI

ITA 830/MUM/2025

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The case involves the Global Chamber of Saraswat Entrepreneurs, which appealed against the decision of the Commissioner of Income Tax (Exemption), Mumbai, who had rejected their application for registration under Section 80G of the Income Tax Act. The rejection was based on incomplete documentation and concerns that certain objects of the trust violated Section 11 of the Act, as they involved applying or receiving funds outside India. However, the Tribunal noted that the Commissioner had earlier granted registration under Section 12AB, indicating satisfaction with the trust's objects. The Tribunal concluded that the same objects should warrant approval under Section 80G, leading to the decision to allow the appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 28608 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KISHOR DHULE; DR
• Assessee Lawyers: MAYANK THOSAR; AR
• Keywords: Charitable institution
• Section: 11; 2; 80G

Judgement Text

" | आयकर अपीलीय अिधकरण ा यपीठ, मुंबई | IN THE INCOME TAX APPELLATE TRIBUNAL “G” BENCH, MUMBAI BEFORE SHRI NARENDRA KUMAR BILLAIYA, HON’BLE ACCOUNTANT MEMBER & SHRI ANIKESH BANERJEE, HON’BLE JUDICIAL MEMBER I.T.A. No. 830/Mum/2025 Global Chamber of Saraswat Entrepreneurs 2202, Manisha Garden Navghar Road Near Mulund Gymkhana Mulund East Mumbai - 400081 [PAN: AAHCG9891M] Vs Commissioner of Income Tax (Exemption), Mumbai अपीला थ\u0016/ (Appellant) \u0017\u0018 यथ\u0016/ (Respondent) Assessee by : Shri Mayank Thosar, A/R Revenue by : Shri Dr. Kishor Dhule, CIT, D/R सुनवाई की तारीख/Date of Hearing : 02/04/2025 घोषणा की तारीख /Date of Pronouncement: 03/04/2025 आदेश/O R D E R PER NARENDRA KUMAR BILLAIYA, AM: This appeal by the assessee is preferred against the order of the ld. CIT(Exemptions), Mumbai [hereinafter ‘the CIT(E)’] rejecting the registration u/s 80G of the Act. 2. Briefly stated, the facts of the case are that the assessee filed application in Form 10AB under clause (iii) of first proviso to Section 80G(5) of the Act seeking approval u/s 80G of the Act. 3. The application of the assessee was rejected by the ld. CIT(E) observing as under:- “3. On verification of the application in Form 10AB filed by the applicant, it was found that the application was not complete, and all the documents required to be accompanying the application were not furnished. Hence, a notice was issued to the applicant vide DIN & Notice No. ITBAVEXM/F/EXM43/2024-25/1070315208(1) dated 13.11.2024 requesting the applicant to furnish the complete set of documents mentioned in Rule 11AA(2). In response, applicant made submission on 27.11.2024. After going through the submissions made by the applicant, it is noticed from the trust deed/MOA that point no. 3(b)(5) and 3(b)(11) of the objects are in violation of I.T.A. No. 830/Mum/2025 2 provisions of section 11 of the I.T. Act as the trust intends to apply/receive funds outside India. In view of the same, showcause notice was issued to the applicant in this regard and other information was also called for vide DIN & Notice No. ITBA/EXM/F/EXM43/2024-25/1071126511(1) dated 12.12.2024. However, no response has been received in this regard. 4. Since Approval under section 80G is to be accorded to the applicant after satisfying oneself of the genuineness of activities and the compliance of all the conditions mentioned in clauses i) to (V) of section 80G(5) and any other provisions of the Income Tax Act relevant to charitable institutions. Thus, based on the reasons mentioned above, this application for approval u/s 80G is not allowable. As such the undersigned is left with no other option but to reject the application seeking approval under section 80G of the Act, as the limitation to decide on the application is 31.12.2024. 5. In conclusion, this application for grant of approval stands rejected.” 4. We find that the ld. CIT(E) vide order dated 18/03/2024 has granted registration u/s 12AB of the Act. The order of the ld. CIT(E) is placed at pages 11 to 14 of the paper book. 5. In our considered opinion, once the ld. CIT(E) is satisfied with the objects of the trust and has granted registration u/s 12AB of the Act, and the objects are the same, we do not find any reason as to why the registration u/s 80G of the Act should not be granted. 6. Considering the registration u/s 12AB of the Act, we direct the ld. CIT(E) to grant registration u/s 80G of the Act. 7. In the result, appeal of the assessee is allowed. Order pronounced in the Court on 3rd April, 2025 at Mumbai. Sd/- Sd/- (ANIKESH BANERJEE) (NARENDRA KUMAR BILLAIYA) JUDICIAL MEMBER ACCOUNTANT MEMBER Mumbai, Dated 03/04/2025 *SC SrPs *SC SrPs *SC SrPs *SC SrPs I.T.A. No. 830/Mum/2025 3 आदेश की \u0015ितिलिप अ\u001aेिषत /Copy of the Order forwarded to : 1. अपीलाथ / The Appellant 2. \u0015 थ / The Respondent 3. संबंिधत आयकर आयु\" / Concerned Pr. CIT 4. आयकर आयु\" ) अपील ( / The CIT(A)- 5. िवभागीय \u0015ितिनिध ,आयकर अपीलीय अिधकरण, मुंबई /DR,ITAT, Mumbai, 6. गाड& फाई/ Guard file. आदेशानुसार/ BY ORDER TRUE COPY Assistant Registrar आयकर अपीलीय अिधकरण ITAT, Mumbai "