MADHYAMIK KEVALANI MANDAL,ANAND V. THE CIT(EXEMPTION), AHMEDABAD

ITA 141/AHD/2025

AI Insights

The case involves Madhyamik Kevalani Mandal, a Public Charitable Trust, which appealed against the decision of the CIT(Exemption), Ahmedabad, rejecting their application for registration under section 12A(1)(ac)(iii) of the Income Tax Act, 1961. The CIT(Exemption) had rejected the application due to the non-production of required documents, attributed to non-compliance by the trust's accountant. The Tribunal found that the CIT(Exemption) had not considered the evidence already submitted with the original application. Consequently, the Tribunal decided to remand the case for a fresh evaluation, emphasizing the need to adhere to the principles of natural justice.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 297930 (ITAT-AHMEDABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V. NANDAKUMAR
• Assessee Lawyers: URJITA SHAH
• Keywords: Principle of natural justice; Charitable institution; Non compliance

Judgement Text

"THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “B” BENCH Before Dr. BRR Kumar, Vice President And Ms. Suchitra Kamble, Judicial Member Madhyamik Kevalani Mandal, Anklav, Dist. Anand PAN: AAATM3763A (Appellant) Vs The CIT(Exemption), Ahmedabad (Respondent) Assessee by: Ms. Urjita Shah, A.R. Revenue by: Shri V. Nandakumar, CIT-D.R. Date of hearing : 17-04-2025 Date of pronouncement : 22-04-2025 आदेश/ORDER Per Suchitra Kamble, Judicial Member: This is an appeal filed against the order dated 13-11-2024 passed by CIT(Exemption), Ahmedabad for assessment year N.A. 2. The grounds of appeal are as under:- “1. Learned CIT (Exemption) erred in law and facts by making the order by rejecting the application filed in form 10AB for registration u/s12(1)(ac) (iii) of the act for not producing documents required by the authority. 2. Due to non compliance by the side of Accountant, documents are pending to produce against the notice issued by the authority. 3. Appellant craves to add, alter or delete any grounds either before or in the N.A course of hearing of the appeal.” 3. The facts of the case are that the applicant is a Public Charitable Trust and the activities of the trust are charitable within the meaning of section 2(15) of the I.T. Act. The applicant trust filed the application in Form 10AB on 30.06.2024 for ITA No. 141/Ahd/2025 Assessment Year N.A. I.T.A No. 141/Ahd/2025 Madhyamik Kevalani Mandal, A.Y. N.A. 2 registration u/s. 12A(1)(ac)(iii) of the Income Tax Act, 1961. Notices were issued from time to time requesting to furnish details/documents. The CIT(E) rejected the application of the applicant vide order dated 13-11-2024. Aggrieved by the order of the CIT(E), the applicant trust filed appeal before the Tribunal. 4. At the outset, the Ld. A.R. submitted that the CIT(E) has rejected the application for final registration u/s 12A(1)(ac)(iii) of the Act of the assessee without considering the evidence which has already been filed along original Form 10AB application on 30.06.2024. Therefore, Ld. A.R. submitted that the matter may be remanded to then CIT(E) for proper adjudication. The CIT- D.R. relied upon the order of the CIT(E). 5. We have heard both the parties and perused all the relevant record. It is pertinent to note that the CIT(E) has not at all considered the evidence filed by the applicant trust. Hence, it will be appropriate to remand the matter to the file of the CIT(E) for consideration of the application afresh and to pass an order by taking into consideration the evidences filed by the applicant trust. The applicant trust be given opportunity of hearing by following principles of natural justice. 6. In the result, the appeal of the applicant trust is allowed for statistical purposes. Order pronounced in the open court on 22-04-2025 Sd/- Sd/- (Dr. BRR Kumar) (Suchitra Kamble) Vice President Judicial Member Ahmedabad : Dated 22/04/2025 I.T.A No. 141/Ahd/2025 Madhyamik Kevalani Mandal, A.Y. N.A. 3 आदेश क\u0006 \u0007\bत ल प अ\u000fे षत / 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 अपील\u0012य अ\u0013धकरण, अहमदाबाद "