RANG AMARNATH SEVA TRUST CHHOTAUDEPUR,CHHOTAUDEPUR V. COMMISSIONER OF INCOME TAX (EXEMPTION), AHMEDABAD

ITA 8/AHD/2025

AI Insights

Rang Amarnath Seva Trust Chhotaudepur appealed against the orders of the Commissioner of Income Tax (Exemption), which rejected their applications for registration under sections 12A and 80G of the Income Tax Act, 1961. The Tribunal found that the CIT(E) had not adequately considered the documents provided by the Trust nor given proper opportunities for a hearing, leading to the decision to remand the case for a thorough re-evaluation.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 37033 (ITAT-AHMEDABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: R.N. DSOUZA
• Assessee Lawyers: AASHIYA SADUWALA; AMAR K. SHAH
• Keywords: Principle of natural justice
• Section: 12A; 80G

Judgement Text

"ITA Nos.7 & 8/Ahd/2025 Assessment Years: 2025-26 for both Rang Amarnath Seva Trust Chhotaudepur vs. CIT(E) Page 1 of 3 IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “A” BENCH, AHMEDABAD BEFORE DR. BRR KUMAR, VICE PRESIDENT & Ms. SUCHITRA KAMBLE, JUDICIAL MEMBER ITA Nos.7 & 8/Ahd/2025 Assessment Years: 2025-26 Rang Amarnath Seva Trust Chhotaudepur, Home No.338, Khokhariveri TA Bodeli, Chhotaudepur – 391 761. (Gujarat). [PAN – AAFTR 3141 L] Vs. The Commissioner of Income Tax (Exemption), Room No.609, Floor-6, Aayakar Bhavan (Vejalpur), Near Sachin Tower, 100 Foot Road, Anandnagar-Prahladnagar Road, Ahmedabad – 380 015. (Appellant) (Respondent) Assessee by Smt. Aashiya Saduwala, CA & Shri Amar K. Shah, CA Revenue by Shri R.N. Dsouza, CIT-DR Date of Hearing 10.03.2025 Date of Pronouncement 20.03.2025 O R D E R PER SUCHITRA KAMBLE, JUDICIAL MEMBER: These two appeals are filed by the Appellant Trust against two separate orders, dated 13.11.2024, & 15.11.2024 respectively, passed by the CIT(E), Ahmedabad for Assessment Year 2025-26 for both. 2. The Appellant Trust has raised the following grounds of appeal: ITA No.7/Ahd/2025 for Assessment Year 2025-26 “Being aggrieved by the order dated 13.11.2024, u/s.12AB(1)(b) of the Income Tax Act, 1961 (Hereinafter referred as \"The Act\"), rejecting the application filed in form 10AB, for registration u/s.12A(1)(ac)(iii) of the Act, by the Commissioner of Income Tax (Exemption), Aayakar Bhawan (Vejalpur), Ahmedabad, (hereinafter referred as \"CIT(Exemption)\"), the appellant has preferred this appeal on the following grounds: ITA Nos.7 & 8/Ahd/2025 Assessment Years: 2025-26 for both Rang Amarnath Seva Trust Chhotaudepur vs. CIT(E) Page 2 of 3 1. On facts and circumstances of the case and in law, the order passed by the Hon'ble CIT(Exemption), rejecting the application filed in form 10AB, for final registration u/s.12A(1)(ac)(iii) of the Act, is bad in law. 2. On facts and circumstances of the case and in law, the order passed by the Hon'ble CIT(Exemption), cancelling the provisional registration of the appellant, for registration u/s.12A(1)(ac)(vi)(A) of the Act, is bad in law. 3. On facts and circumstances of the case and in law, the order passed by the Hon'ble CIT(Exemption), directing the appellant to compute the tax liability u/s.115TD of the Act read with rule 17B of the IT Rules, is bad in law. 4. Your appellant prays for leave to add, alter and/or amend/withdraw any and /or all the grounds of appeal adduced above.” ITA No.8/Ahd/2025 for Assessment Year 2025-26 “Being aggrieved by the order dated 15.11.2024, rejecting the application filed in form 10AB, for registration u/s.80G(5)(iii) of the Income Tax Act, 1961 [Hereinafter referred as \"The Act\") of Commissioner of Income Tax (Exemption), Aayakar Bhawan (Vejalpur) Ahmedabad, (hereinafter referred as \"CIT Exemption)\"), the appellant has preferred this appeal on the following grounds: 1. On facts and circumstances of the case and in law, the order passed by the Hon'ble CIT (Exemption), rejecting the application filed in form 10AB, for final registration u/s. 80G(5)(iii) of the Act, is bad in law. 2. Your appellant prays for leave to add, alter and/or amend/withdraw any and for all the grounds of appeal adduced above.” 3. The appellant Trust has filed application for registration of Trust in Form 10AB under Sub-Clause(iii) of Clause (ac) of Sub-Section (1) of Section 12A of the Income Tax Act, 1961 as well as application for approval under Clause (iii) of First Proviso to Sub-Section(v) of Section 80G of the Income Tax Act, 1961. The CIT(Exemption) vide order dated 13.11.2024 and 15.11.2024 rejected both the applications and cancelled the provisional registration of the Trust and not granted approval under Section 80G of the Act. 4. Being aggrieved by the rejection, the appellant Trust filed appeals before us. 5. The Ld. AR submitted that the CIT(E) has not given any substantial finding and has not considered the documents filed by the assessee. Therefore, the Ld. AR ITA Nos.7 & 8/Ahd/2025 Assessment Years: 2025-26 for both Rang Amarnath Seva Trust Chhotaudepur vs. CIT(E) Page 3 of 3 submitted that the matter may be remanded back to the file of the CIT(E) for proper adjudication of the issue. 6. The Ld. DR submitted that the assessee failed to give the details to the CIT(E) and hence the CIT(E) has rightly rejected both the applications. 7. We have heard both the parties and perused all the relevant material available on record. It is pertinent to note that the issuance of notice to the assessee and the details thereof has not been given in paragraph no.3 or in paragraph no.2 of the order dated 13.11.2024 passed by the CIT(E). Besides this, the CIT(E) has also not granted proper opportunities to the appellant Trust for producing the details and hence it will be appropriate to remand back this matter to the file of the CIT(E) for proper adjudication of the issues and decide the application filed by the appellant Trust under Section 12A(1)(ac)(iii) of the Act as well as Section 80G(5)(iii) and it is proviso. The assessee be given opportunity of hearing by following the principles of natural justice. 8. In the result, both the appeals filed by the appellant Trust are partly allowed for statistical purpose. Order pronounced in the open Court on this 20th March, 2025. Sd/- Sd/- (DR. BRR KUMAR) (SUCHITRA KAMBLE) Vice President Judicial Member Ahmedabad, the 20th March, 2025 PBN/* Copies to: (1) The appellant (2) The respondent (3) CIT (4) CIT(A) (5) Departmental Representative (6) Guard File By order TRUE COPY Assistant Registrar Income Tax Appellate Tribunal Ahmedabad benches, Ahmedabad "