NISWARTH WELFARE SOCIETY,JAIPUR V. CIT EXEMPTION, JAIPUR, JAIPUR

ITA 110/JPR/2025

AI Insights

Niswarth Welfare Society filed two appeals against the decisions of the CIT(E), which had rejected their applications for registration under sections 12AB and 80G of the Income Tax Act, 1961. The primary reasons for rejection included incomplete documentation and non-registration under the Rajasthan Public Trust Act, 1959. The Tribunal noted that registration under the RPT Act is not a mandatory requirement for section 12AB registration, referencing a similar case (APJ Abdul Kalam Education and Welfare Trust vs. CIT(E)). The Tribunal decided to remand the case for a fresh evaluation, providing the appellant another opportunity to present their case.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 46833 (ITAT-JAIPUR)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-04-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: misc
• Other Referred Cases: APJ Abdul Kalam Education and Welfare Trust vs. CIT(E)
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ARVIND KUMAR
• Assessee Lawyers: VIVEK BHARGAWA
• Keywords: Non compliance
• Section: 119; 80G

Judgement Text

"vk;dj vihyh; vf/kdj.k] t;iqj U;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”A-Bench” JAIPUR Jh xxu xks;y] ys[kk lnL; ,o aJh ujsUnz dqekj] U;kf;d lnL; ds le{k BEFORE: SHRI GAGAN GOYAL, AM & SHRI NARINDER KUMAR, JM vk;dj vihy la-@ITA No. 119 & 110/JP/2025 Niswarth Welfare Society 26, Saraswati Enclave, New Sanganer Road, Sumeer Nagar, Jaipur. cuke Vs. The CIT Exemption, Jaipur. LFkk;hys[kk la-@thvkbZvkj la-@PAN/GIR No.: AAGAN2041P vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksjls@Assessee by : Shri Vivek Bhargawa, C.A. jktLo dh vksjls@Revenue by: Shri Arvind Kumar, CIT-DR lquokbZ dh rkjh[k@Date of Hearing : 03/04/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement: 07/04/2025 vkns'k@ORDER PER: NARINDER KUMAR, JUDICIAL MEMBER . This common order is to dispose of the above captioned 2 appeals filed by the appellant-society, before Learned CIT(E). Vide two separate orders, two separate applications filed by the appellant before Ld. CIT(E) came to be rejected on separate grounds. One of the applications was submitted seeking its registration u/s 12AB of the Income Tax Act, 1961 (hereinafter referred to as the “Act”) The other application was submitted seeking its registration u/s 80G of the Act. 2 ITA No.119 & 110/JPR/2025 Niswarth Welfare Society vs. CIT(E) 2. That is how, the applicant is in appeals before this Appellate Tribunal. 3. Arguments heard. File perused. ITA No. 119/JPR/2025 as regards application u/s 12AB of the Act This application came to be rejected on the following three grounds:-  Incomplete Form 10AB.  Non-registration under Rajasthan Public Trust Act, 1959.  Non-Genuineness of Activities. Non registration of the applicant under RPT Act, 1959 4. As noticed above, this is one of the grounds of rejection of the application. In this regard, it may be mentioned here that Co-ordinate Bench ITAT, Jaipur has held in APJ Abdul Kalam Education and Welfare Trust vs. CIT(E) decided on 15.01.2025 that for the purposes of registration of such institutions, u/s 12AB of the Act, registration under RPT Act, 1959 is not one of the essential requirements. 5. A perusal of the impugned order would reveal that Learned CIT(E) observed therein as to which the documents were not furnished by the 3 ITA No.119 & 110/JPR/2025 Niswarth Welfare Society vs. CIT(E) applicant initially with the application in Form 10AB and also in reply to letter dated 08.09.2024 issued by Learned CIT(E). 6. As regards non furnishing of the documents, Ld. AR for the appellant candidly admits default on the part of the appellant. He submits that the applicant could not furnish the requisite details/documents inadvertently, as the Secretary of the society, whose e-mail address and merely PAN number were furnished on the income tax portal, did not check e-mail account as well as SMC. At the same time, Ld. AR submits that the matter be remanded to Learned CIT(E) for decision of the application afresh, after providing reasonable opportunity to the applicant of being heard. 7. Ld. AR for the appellant has submitted affidavit of Shri Gaurav Sharma, Secretary of the appellant society. 8. Ld. DR for the department has not controverted the above affidavit. 9 As is available from the impugned order, notices dated 08.09.2024, 26.10.2024 and 08.11.2024 were issued by the office of Learned CIT(E) to the applicant asking the applicant for certain details/information/documents. 4 ITA No.119 & 110/JPR/2025 Niswarth Welfare Society vs. CIT(E) In the given situation, we are of the view that the application deserves to be decided after providing another opportunity to the applicant of being heard. 10. Accordingly, ITA No. 119/JPR/2025 is disposed of for statistical purposes and the application is restored to the files of Learned CIT(E), for decision of the application u/s 12AB of the Act afresh after providing another opportunity to the applicant of being heard. 11. Taking into consideration the factum of non compliance on the part of representative of the applicant society before Learned CIT(E), the appellant society is burdened with costs of Rs. 1,000/-. Costs to be deposited by the applicant with “Prime Minister’s National Relief Fund” and receipt to be submitted before Learned CIT(E) before commencement of the proceedings on remand. ITA No. 110/JPR/2025-as regards application under section 80G of the Act. 12. Vide separate order dated 03.12.2024, Learned CIT(E) rejected said application on the ground that the application u/s 12AB of the Act stood rejected and therefore, no approval u/s 80G of the Act could be granted. 15. Since the application u/s 12AB of the Act has been restored to the files of Learned CIT(E), as a consequence, while disposing of this appeal 5 ITA No.119 & 110/JPR/2025 Niswarth Welfare Society vs. CIT(E) for statistical purpose, application u/s 80G is also restored to the files by Learned CIT(E) for decision fresh after providing reasonable opportunity to the applicant, Copy of the common order be placed in the records of ITA No. 110/JP/2025. Files be consigned to the record room after the needful is done by the office. Order pronounced in the open court on 07/04/2025. Sd/- Sd/- ¼xxu xks;y½ ¼ujsUnz dqekj½ (GAGAN GOYAL) (NARINDER KUMAR) ys[kk lnL; @Accountant Member U;kf;d lnL;@Judicial Member Tk;iqj@Jaipur fnukad@Dated:- 07/04/2025 *Santosh vkns'k dh izfrfyfi vxzsf’kr@Copy of the order forwarded to: 1. The Appellant- Niswarth Welfare Society, Jaipur. 2. izR;FkhZ@ The Respondent- CIT(E), Jaipur. 3. vk;dj vk;qDr@ The ld CIT 4. foHkkxh; izfrfuf/k] vk;dj vihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur 5. xkMZQkbZy@ Guard File ITA No. 119 & 110/JPR/2025) vkns'kkuqlkj@ By order, lgk;d iathdkj@Asstt. Registrar "