RMJBS CHARITABLE TRUST,DELHI V. CIT EXEMPTION, DELHI

ITA 4875/DEL/2024

AI Insights

The case involves RMJBS Charitable Trust, which appealed against the decisions of the Commissioner of Income Tax (Exemption), Delhi, rejecting their applications for registration under section 12AB and approval under section 80G of the Income Tax Act, 1961. The Trust argued that the CIT(E) had dismissed their applications without providing a reasonable opportunity for submissions. The CIT(E) had raised objections regarding the Trust's registration on the DARPAN Portal and the registration of the Trust deed through the Sub-Registrar Office, which the Trust contested. The Tribunal found the CIT(E)'s objections to be unwarranted and directed a de novo reconsideration of the applications.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 298826 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-02-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PARVEEN RAWAL
• Assessee Lawyers: GAURAV GUPTA; CHARTERED ACCOUNTANT; NAVEEN KUMAR
• Keywords: Set aside; Charitable institution
• Section: 12A; 80G

Judgement Text

"आयकर अपीलीय अिधकरण िदʟी पीठ “एफ”, िदʟी ŵी िवकास अव̾थी, Ɋाियक सद˟ एवं ŵी अवधेश क ुमार िमŵा, लेखाकार सद˟ क े समƗ IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “F”, DELHI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER & SHRI AVDHESH KUMAR MISHRA, ACCOUNTANT MEMBER आअसं.4875 & 4876/िदʟी/2024 ITA Nos. 4875 & 4876/DEL/2024 RMJBS Charitable Trust, 11A-11B, Atma Ram House, Connaught Place, New Delhi 110001 PAN: AACTR-7900-A ...... अपीलाथᱮ/Appellant बनाम Vs. Commissioner of Income Tax (Exemption), Civic Center, J.L.N Marg, Minto Road, New Delhi 110002 ..... ᮧितवादी/Respondent अपीलाथŎ Ȫारा/ Appellant by : Shri Gaurav Gupta, Chartered Accountant & Shri Naveen Kumar, Advocate ŮितवादीȪारा/Respondent by : Shri Parveen Rawal, CIT- DR सुनवाई कᳱ ितिथ/ Date of hearing : 19/02/2025 घोषणा कᳱ ितिथ/ Date of pronouncement : : 19/02/2025 आदेश/ORDER PER VIKAS AWASTHY, JM: These two appeals by the assessee are directed against the orders of Commissioner of Income Tax (Exemption), Delhi (hereinafter referred to as 'the CIT(E)') rejecting assessee application for grant of registration u/s. 12AB of the Income Tax Act,1961(hereinafter referred to as ‘the Act’) and rejection of application for approval u/s. 80G of the Act, respectively. Both the impugned orders are of even dated i.e. 22.08.2024. 2 ITA NOs.4875 & 4876/DEL/2024 2. Shri Gaurav Gupta, appearing on behalf of the assessee submits that the CIT(E) without affording reasonable opportunity of making submissions has dismissed applications of the assessee for grant of registration u/s. 12AB and approval u/s. 80G of the Act. The assessee had filed application on 07.02.2024 for grant of registration. The applicant was issued a questionnaire on 07.05.2024 for furnishing certain details, documents/clarifications. The assessee was required to comply with the questionnaire by 22.05.2024. The assessee furnished requisite details, thereafter, another identical notice was issued on 04.07.2024 for compliance on 10.07.2024. The assessee again furnished details as called for. The first two notices were received from CIT(E) Lucknow. The assessee had made request for transfer of case from Lucknow to Delhi. In the mean time the case of assessee was transferred to Delhi. The assessee received third notice dated 08.08.2024 from CIT(E) Delhi. The information called for was already on record, however, on flimsy objection, the CIT(E) dismissed application of the assessee. 3. To substantiate his contentions, the ld. Counsel for the assessee pointed that the CIT(E) has objected that the Trust is not registered on DARPAN Portal. Since, the assessee has not received any foreign contributions there was no requirement for the assessee to register on DARPAN Portal. He further referred to observations of the CIT(E) that the Trust deed is created on only Rs.10 stamp paper was not registered through Sub-Registrar Office. To this objection, the ld. Counsel submitted that the CIT(E) was not required to comment on the registration with Sub-Registrar Office. No such objection was raised by the Sub- Registrar as the Trust was registered in accordance with provisions of the Registration Act. 3 ITA NOs.4875 & 4876/DEL/2024 4. Shri Parveen Rawal, representing the department submitted that the assessee has failed to furnish relevant information to the CIT(E), hence, the CIT(E) has rejected assessee’s application for registration. 5. Both sides heard, impugned orders examined. Considering documents on record, we are of considered view that the CIT(A) has raised certain objections which were unwarranted. Without further commenting on merits, the CIT(E) is directed to reconsidered assessee’s application for grant of registration u/s. 12A of the Act and for grant of approval u/s. 80G of the Act denovo after affording reasonable opportunity of making submissions to the assessee, in accordance with law. The CIT(E) shall disposed off aforesaid applications of the assessee expeditiously, preferably within a period of three months from the date of receipt of this order. 6. In the result, impugned orders are set aside and both appeals of the assessee are allowed for statistical purpose. Order pronounced in the open court on Wednesday the 19th day of February, 2025. Sd/- Sd/- (AVDHESH KUMAR MISHRA) (VIKAS AWASTHY) लेखाकार सद᭭य/ACCOUNTANT MEMBER ᭠याियक सद᭭य/JUDICIAL MEMBER िदʟी / Delhi, ᳰदनांक/Dated 19/02/2025 NV/- 4 ITA NOs.4875 & 4876/DEL/2024 ᮧितिलिप अᮕेिषतCopy of the Order forwarded to : 1. अपीलाथᱮ/The Appellant , 2. ᮧितवादी/ The Respondent. 3. The PCIT/CIT(A) 4. िवभागीय ᮧितिनिध, आय.अपी.अिध.,िदʟी/DR, ITAT,Delhi 5. गाडᭅ फाइल/Guard file. BY ORDER, //True Copy// (Dy./Asstt. Registrar) ITAT, Delhi "