GOYAM GUNANURAGI SHRI JAYBHANU BHAKTI TRUST,AHMEDABAD V. THE COMMISSIONER OF INCOME TAX (EXEMPTION), AHMEDABAD

ITA 2110/AHD/2025

AI Insights

The case involves Goyam Gunanuragi Shri Jaybhanu Bhakti Trust, a charitable Trust, which appealed against the exparte order of the Commissioner of Income Tax (Exemption), Ahmedabad, dated 30.09.2025. The order denied the Trust's registration under section 12AB of the Income Tax Act, 1961, due to failure to furnish required details despite multiple opportunities. The Trust argued that it was restricted by reasonable cause from submitting the necessary details, and sought another opportunity to comply. The CIT-DR opposed this, citing the Trust's failure to respond to previous notices. The tribunal's decision to allow the appeal for statistical purposes was accompanied by a monetary penalty and conditions for reconsideration of the registration application.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 830550 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 07-11-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Reasonable cause; Principle of natural justice; Charitable institution
• Section: 12A

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “B” BENCH Before: Shri T.R. Senthil Kumar, Judicial Member And Shri Narendra Prasad Sinha, Accountant Member Goyam Gunanuragi Shri Jaybhanu Bhakti Trust 1, Ishvashyam Society, Manekbag, Ahmedabad-380015, Gujarat PAN: AAETG4427F (Appellant) Vs CIT (Exemption), Ahmedabad (Respondent) Assessee Represented: Shri Hardik Mehta, A.R. Revenue Represented: Shri R.P. Rastogi, CIT-DR Date of hearing : 20-01-2026 Date of pronouncement : 22-01-2026 आदेश/ORDER PER: T.R. SENTHIL KUMAR, JUDICIAL MEMBER This appeal is filed by the Assessee as against exparte order dated 30.09.2025 passed by the Commissioner of Income Tax (Exemption), Ahmedabad denying registration under section 12AB of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’). 2. Brief facts of the case is that the assessee is a charitable Trust created on 21-02-2023 with the main objects to promote social, charitable and cultural activities for the public benefit. The assessee Trust applied for registration u/s. 12AB(1)(ac) of the Act ITA No: 2110/Ahd/2025 Printed from counselvise.com I.T.A No. 2110/Ahd/2025 Goyam Gunanuragi Shri Jaybhanu Bhakti Trust Vs. CIT(E) 2 on 29-03-2025. The Ld. CIT(E) given opportunities of hearing on 16-04-2025, 12-09-2025 and 19-09-2025, however the assessee Trust failed to furnish required details. In the meantime limitation to pass order on registration was expiring on 30-09-2025 and in absence of details Ld. CIT(E) passed exparte rejection order. 3. Aggrieved against the same, the assessee is in appeal before us raising the following Grounds of Appeal: 1. The Hon'ble CIT(Exemption) has erred both in law and on facts by rejecting the application of the Appellant filed for the grant of registration u/s 12A of the Income Tax Act, 1961 ('the Act'). 2. The Hon'ble CIT(Exemption) has erred in rejecting the application filed for the grant of registration u/s 12A of the Act, as the Appellant was restricted by reasonable cause to submit the relevant details called for. 3. The Hon'ble CIT(Exemption) has erred in cancelling the provisional approval granted u/s 12A of the Act on the ground that the Appellant could not comply with the notices issued for furnishing certain details/documents 4. The Hon'ble CIT(Exemption) has erred in treating the present application for registration as non-maintainable, which is against the principle of natural justice. 5. The Hon'ble CIT(Exemption) has erred in directing the Appellant to pay tax as per the provisions of section 115TD(5) of the Act. 6. Your Appellant reserves the right to add, modify, amend or withdraw any ground(s) of appeal on or before the hearing of the appeal. 4. Ld. Counsel for the assessee pleaded that one more opportunity be given to the assessee trust to file all relevant details before Ld. CIT(E) for registration u/s. 12AB of the Act. 5. Per contra Ld. CIT-DR strongly oppose the above submission of the A.R. It is seen that Ld. CIT(E) has given three opportunities to the assessee trust to file required details, however the assessee has Printed from counselvise.com I.T.A No. 2110/Ahd/2025 Goyam Gunanuragi Shri Jaybhanu Bhakti Trust Vs. CIT(E) 3 not responded to the notices. Therefore we hereby impose a cost of Rs.5,000/- payable by the assessee Trust in favour of Income Tax Department within 2 weeks of receipt of this order and produce copy of the Challan before Ld. CIT(E) to reconsider the application afresh and pass order by giving one more opportunity of hearing to the assessee Trust. 6. In the result, the appeal filed by the Assessee is treated as allowed for statistical purpose. Order pronounced in the open court on 22 -01-2026 Sd/- Sd/- (NARENDRA PRASAD SINHA) (T.R. SENTHIL KUMAR) ACCOUNTANT MEMBER True Copy JUDICIAL MEMBER Ahmedabad : Dated 22/01/2026 आदेश कȧ ĤǓतͧलͪप अĒेͪषत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से, उप/सहायक पंजीकार आयकर अपीलȣय अͬधकरण, अहमदाबाद Printed from counselvise.com "