MAHER TRUST,PATAN V. THE CIT(EXEMPTION), AHMEDABAD

ITA 730/AHD/2025

AI Insights

Maher Trust, a charitable trust, appealed against the decision of the Commissioner of Income-Tax (Exemption), Ahmedabad, which had rejected their application for registration under section 12A(1)(ac)(iii) of the Income Tax Act, 1961. The rejection was based on the trust's failure to submit necessary details and documents to prove the genuineness of its activities. The Tribunal found that the trust had not complied due to unforeseen circumstances but should be given another opportunity to present its case. The Tribunal's decision emphasizes the importance of procedural fairness and the right to be heard in administrative proceedings.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 668652 (ITAT-AHMEDABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ALPESH PARMAR
• Assessee Lawyers: VARISHUSEN MOMIN
• Keywords: Opportunity of being heard; Charitable institution

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, AHMEDABAD BEFORE DR. B.R.R. KUMAR, VICE-PRESIDENT SHRI SIDDHARTHA NAUTIYAL, JUDICIAL MEMBER I.T.A. No. 730/Ahd/2025 (Assessment Year: NA) Maher Trust, At-Haidarpura, Post-Raviyana, Tal-Sarasvati, Dist-Patan, Gujarat-384285 [PAN: AABTM 4474 B] Vs. The CIT (Exemption), Ahmedabad (Appellant) .. (Respondent) Assessee by : Shri Varishusen Momin, AR Revenue by: Shri Alpesh Parmar, CIT-DR Date of Hearing 19.06.2025 Date of Pronouncement 23.06.2025 O R D E R PER DR. B.R.R. KUMAR, VICE-PRESIDENT : Delay Condoned. This appeal has been preferred by the assessee against the order of the Ld. Commissioner of Income-Tax (Exemption), Ahmedabad [hereinafter referred to as “Ld. CIT(E)”], dated 13.11.2024, whereby the application for registration filed by the assessee in Form No. 10AB u/s 12A(1)(ac)(iii) of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) was rejected. 2. The brief facts of the case are that the assessee is a charitable trust engaged in activities for the welfare of the public. The assessee-trust had applied for registration under section 12A(1)(ac)(iii) of the Act in Form No.10AB. The Ld. CIT(E) rejected the application on the ground that the assessee had failed to submit the requisite details/documents and the genuineness of the activities of the assessee-trust, despite issuance of notices from time to time. It was further noted by the Ld. CIT(E) that the assessee neither filed any submissions nor sought any adjournment during the proceedings. 3. Aggrieved by the order of the Ld. CIT(E), the assessee is now in appeal before the Tribunal. ITA No. 730/Ahd/2025 Maher Trust Vs. CIT(E) Asst. Year : NA - 2– 4. At the outset, the Ld. AR submitted that the Ld. CIT(E) has rejected the application and cancelled the provisional registration of the assessee-trust due to non- compliance. The Ld.AR further submitted that owing to unforeseen circumstances due compliance before the Ld. CIT(E) could not be made. Therefore, prayed that given an opportunity, the same would be apprised to the Ld. CIT(E). Ld. CIT(DR) argued that the assessee needs to furnish the proof of filing the submissions before the Ld. CIT(E). Having considered the facts on record, we hold that the interests of justice would be met if the matter is restored to the file of the Ld. CIT(E) for de novo adjudication. The Ld. CIT(E) is directed to consider the application of the assessee afresh and pass a reasoned order after taking into account the submissions and documents furnished by the assessee. The assessee shall be afforded adequate opportunity of being heard in the matter. 5. In the result, the appeal of the assessee is allowed for statistical purposes. The order is pronounced in the open Court on 23.06.2025 Sd/- Sd/- (SIDDHARTHA NAUTIYAL) (DR. B.R.R. KUMAR) JUDICIAL MEMBER VICE-PRESIDENT Ahmedabad; Dated 23/06/2025 **btk आदेश की \u0007ितिलिप अ ेिषत/Copy of the Order forwarded to : 1. अपीलाथ\u0007 / The Appellant 2. \b थ\u0007 / The Respondent. 3. संबंिधत आयकर आयु\u0015 / Concerned CIT 4. आयकर आयु\u0015(अपील) / The CIT(E)- 5. िवभागीय \bितिनिध, आयकर अपीलीय अिधकरण, अहमदाबाद / DR, ITAT, Ahmedabad 6. गाड फाईल / Guard file. आदेशानुसार/ BY ORDER, True Copy उप/ / / /सहायक पंजीकार (Dy./Asstt. Registrar) आयकर अपीलीय अिधकरण, , , , अहमदाबाद / ITAT, Ahmedabad "